Holcim signed an agreement to acquire Duro-Last, a U.S. leader in commercial roofing systems, with pro forma net sales of $540 million. Duro-Last’s systems will complement and strengthen Holcim’s integrated roofing offer, with expected synergies of $60 million per year.
This transaction is valued at $1.293 million, representing a 2023 EBITDA multiple of 11.9x, or 7.4x after synergies. It is earnings per share (EPS) accretive from the first year. With this acquisition, Holcim roofing systems will exceed USD 4 billion in net sales ahead of schedule.
“I’m excited to welcome Duro-Last into Holcim’s broad range of innovative and sustainable building solutions," Holcim CEO Jan Jenisch said. "Duro-Last is a perfect strategic fit for our roofing business. Its proprietary technologies and premium brands complement our offering in the stable and fast-growing North American market. Its energy-efficient systems and excellence in recycling will further advance our leadership in sustainability. I congratulate the Burt family and its leadership team for developing such a thriving business, based on its strong customer relationships and most of all its empowered and dedicated people. I am excited to further strengthen the Duro-Last brand and welcome all 840 employees to the Holcim family.”
Duro-Last is recognized for its work in innovation and sustainability. Its Research & Development organization is continuously expanding its range of proprietary technologies and custom-made solutions for superior performance.
Duro-Last’s systems range from cool roofs and insulation boards to enhance buildings’ energy efficiency, to its award-winning “Recycle Your Roof” program, driving circularity in roofing. Duro-Last is the first company in the U.S. to offer third-party verified environmental product declarations for its thermoplastic roofing solutions. With these credentials, Duro-Last’s systems are in line with the most advanced green building certifications, such as LEED.
The acquisition advances Holcim’s “Strategy 2025 – Accelerating Green Growth” with the goal to expand its Solutions & Products business to 30% of Group net sales by 2025, entering the most attractive construction segments, from roofing and insulation to repair and refurbishment. The transaction is in line with Holcim’s commitment to strict financial discipline and is subject to customary conditions and regulatory clearance in the U.S. It is expected to close by early Q2 2023.
