French materials company Saint-Gobain is to acquire Building Products of Canada, which specialises in roof shingles and wood-fibre insulation panels, for €925m.
The move comes a year after it purchased Canadian materials producer and distributor Kaycan for €860m in cash (see further reading) and two years after it bought US construction chemicals company GCP Applied Technologies for about $2.3bn.
The two sides signed a ”definitive agreement”, which Saint-Gobain said would “reinforce its leadership in light and sustainable construction in the Canadian market”.
Building Products of Canada employs 460 people and has three plants, located in Montreal, Edmonton, and Pont-Rouge. Saint-Gobain comments that it has a leading position in asphalt shingle roofing in Canada and offers a range of exterior building products including wood-fibre insulation and acoustic panels.
Yves Gosselin, chief executive of the company, said the deal was “the beginning of an exciting new chapter in the history of Building Products of Canada”.
He said: “The opportunity to join Saint-Gobain, the worldwide leader in light and sustainable construction, which is investing significantly in Canada, is the perfect next step to further enrich our offer by leveraging Saint-Gobain’s innovation and technology.”
The company sells more than 1,200 points-of-sale across home centre retailers and specialty distribution channels and has an annual revenue of around €80m. Saint-Gobain, by contrast, employs around 168,000 people and has a turnover of €51bn.
The deal still has to pass regulatory scrutiny, but is expected to close by the end of the year.
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