Gibraltar to Purchase Residential Constructing Merchandise Maker Omnimax for $1.3B 

Buffalo-NY-based Gibraltar Industries — a producer and supplier of services for the residential, agtech and infrastructure markets — has reached an settlement to amass OmniMax Worldwide from funds managed by Strategic Worth Companions (SVP) and its associates for a money buy worth of $1.335 billion. SVP acquired OmniMax in October 2020.

OmniMax, headquartered in Peach Tree, GA, manufactures residential roofing equipment and rainware options with anticipated 2025 adjusted internet gross sales of $565 million and adjusted EBITDA of $110 million. The acquisition worth represents an efficient a number of of 8.4x based mostly on OmniMax’s anticipated 2025 adjusted EBITDA, run fee price synergies of $35 million and money tax advantages of roughly $100 million.

“The acquisition of OmniMax, and its extremely complementary manufacturers, product portfolio and footprint with localized experience, accelerates our technique to develop in residential constructing merchandise whereas enhancing buyer expertise,” said Gibraltar Chairman and CEO Invoice Bosway. “In attending to know the OmniMax group, it’s clear we each share a dedication to high-quality responsive service, and we sit up for welcoming them to the group. Collectively, we’ll ship larger worth for our prospects and to Gibraltar’s shareholders as we leverage enterprise processes and programs to speed up progress, generate sturdy money efficiency, and proceed to be a pacesetter within the business.”

John Krause, CEO of OmniMax, commented, “OmniMax has constructed a robust and rising portfolio of trusted manufacturers based on an distinctive group, a broad product providing and the supply of excellent customer support. We’re happy with the progress we’ve made, from constructing deeper operational excellence round established names within the roofing business to bringing new rainware and accent manufacturers into the OmniMax household. We see this subsequent step as a chance to proceed strengthening the worth we ship to prospects along with Gibraltar. We sit up for working with the Gibraltar group to finish the transaction and construct a robust future collectively.”

The corporate outlined the strategic and monetary rationale of the transition in a Nov. 17 press launch:

• Additional optimize Gibraltar’s portfolio and develop its presence in its largest and most worthwhile phase. Following completion of the acquisition, Gibraltar’s residential enterprise is predicted to generate over 80% of the corporate’s income and adjusted EBITDA.
• Improve shareholder worth creation. The acquisition is predicted to ship fast EBITDA margin accretion for Gibraltar and create sizeable scale for a excessive performing constructing merchandise enterprise, bringing with it $35 million of price synergies anticipated by the top of 2028. The transaction might be accretive to Gibraltar’s adjusted EPS within the first fiscal full yr submit shut.
• Ship sturdy money move and clear path to deleveraging. The acquisition is predicted to drive stronger money move, important price synergies, and improved working capital to help deleveraging from a post-transaction leverage degree of three.7x 2025E adjusted EBITDA – together with anticipated synergies – to 2.0-2.5x inside 24 months from the shut of the acquisition.

Gibraltar has in place dedicated financing from Financial institution of America, Wells Fargo and KeyBanc Capital Markets to finance the transaction within the type of as much as $1.3 billion new time period mortgage services and an upsized $500 million revolving credit score facility.

The acquisition, which has been unanimously accepted by Gibraltar’s board of administrators, is predicted to shut within the first half of 2026, topic to the satisfaction of customary closing circumstances, together with receipt of required regulatory approvals. No vote of Gibraltar’s shareholders is required to approve the transaction.