US LBM announced that it has reached an agreement to acquire American Construction Source (ACS), a leading national building materials distribution platform for custom home builders and repair and remodel contractors.
ACS’s portfolio includes multiple locally branded building material distributors and manufacturers in more than 70 locations encompassing Arizona, Arkansas, California, Colorado, Minnesota, Missouri, Nevada, Washington and Wisconsin.
“With the addition of the ACS portfolio, US LBM will strengthen our position in the Midwest and California, and expand our reach to Colorado and Washington, two quickly growing construction markets,” says US LBM president and CEO L.T. Gibson. “We look forward to working with the ACS team and their local operators to continue leveraging their strong relationships, experience and teams to grow in their respective markets.”
“ACS joining US LBM is a perfect outcome based on the alignment of our shared strategy to preserve longstanding local lumberyard brands and operations while delivering a great customer experience,” says James Drexinger, CEO of ACS. “We are grateful to our customers, suppliers, leadership team, salespeople and associates for their support. Together we have built a significant industry platform while simultaneously honoring the 100-plus-year heritage of the local brands and family legacies we have acquired.”
US LBM has completed more than 65 acquisitions since it was founded in 2009, including four since being acquired by Bain Capital Private Equity in late 2020. On May 3, US LBM announced the acquisition of Higginbotham Brothers, a building products dealer with 40 locations in Texas and Oklahoma.
Financial terms of the private transaction were not disclosed. The transaction is expected to close during the third quarter of 2021 and is subject to customary closing conditions, including requisite regulatory approvals.