RTTNews | Dec 21, 2020 08:13AM EST

08:13 Monday, December 21, 2020 (RTTNews.com) - Beacon Roofing Supply Inc. (BECN) announced Monday the execution of a definitive agreement to sell its interior products business, consisting of 81 branch locations where it distributes construction products including wallboard, acoustical ceilings, steel framing and insulation to both residential and commercial contractors, to affiliates of American Securities LLC, a leading U.S. private equity firm.

The cash purchase price of $850 million is subject to certain net working capital and other adjustments, with the transaction expected to close during Beacon's fiscal 2021 second quarter, subject to customary regulatory approvals.

The Company intends to use the anticipated after-tax proceeds of approximately $750 million from this divestiture to reduce net leverage and strengthen its balance sheet.

Read the original article on RTTNews ( https://www.rttnews.com/3155361/beacon-to-divest-interior-products-business-to-american-securities-for-850-mln-cash-quick-facts.aspx)

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