Benzinga | Mar 1, 2021 08:06AM EST

TopBuild To Acquire American Building Systems; Transaction Size Not Disclosed

Residential Insulation and Distribution

$144 Million Annual Revenue

Expands Presence on East Coast

DAYTONA BEACH, Fla., March 01, 2021 (GLOBE NEWSWIRE) -- TopBuild Corp. (NYSE:BLD) a leading installer and distributor of insulation and building material products in the United States, has entered into an agreement to acquire all of the assets and business of the American Building Systems Group of Companies ("ABS").

ABS, a residential insulation and distribution business founded in 1982, has 34 branches that primarily services the eastern United States. Major operations exist in Georgia, Virginia, the Carolinas, Florida, Massachusetts and New Jersey. Approximately 94% of ABS' $144 million of annual revenue is from installation of insulation and other building products, with the remaining 6% from distribution.

Robert Buck, President and CEO of TopBuild, noted, "This is a great opportunity for TopBuild to enhance its presence is many high growth markets. ABS will bring a strong customer base, experienced sales force and 500 highly trained installers to our operations. Wayne Sullivan, ABS' current owner, has done a great job building the business and developing a talented team. This will be a great addition to our TopBuild family of companies."

The transaction, which has been approved by TopBuild's Board of Directors, is subject to customary closing conditions, including expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The Company expects the transaction to close early in the second quarter of 2021.