Business
HDI Completes Acquisition of Novo Building Products Holdings, LLC and Closes the New Credit Facility
HDI Completes Acquisition of Novo Building Products Holdings, LLC and Closes the New Cred...
About this update from Adentra Inc
[{"type":"text","content":"\n \n \n \n HDI Completes Acquisition of Novo Building Products Holdings, LLC and Closes the New Credit Facility\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n Expected to be over 30% accretive to earnings per share on a pro forma basis\n \n \n \n \n LANGLEY, BC\n \n ,\n \n Aug. 3, 2021\n \n /CNW/ - Hardwoods Distribution Inc. (\"\n \n HDI\n \n \" or the \"\n \n Company\n \n \") (TSX: HDI) today announced the completion of its previously announced acquisition (the \"Acquisition\") of the equity interests in Novo Building Products Holdings, LLC  (\"\n \n Novo\n \n \"). The Acquisition was completed for a purchase price of U.S.\n \n $302 million\n \n and had an effective closing date of\n \n July 30, 2021\n \n .\n \n \n \"This is a transformative acquisition for the Company,\" said\n \n Rob Brown\n \n , President and Chief Executive Officer of HDI. \"Novo significantly broadens our addressable market, providing turnkey access into the home center and home builder distribution customer segments. We believe the combined scale and sophistication of HDI and Novo creates a national platform to provide additional solutions to our customers, and allows us to capitalize on the market share opportunity available.  The multi-year outlook for our products and the end markets we participate in is very attractive, with strong demand driving new residential, repair and remodel and commercial building expenditures.  Millennials represent the largest demographic segment of the population and are now entering peak home buying years, complemented by historically low interest rates and rising home equity levels that support spending.  We see significant growth opportunities ahead as we continue to build HDI as a world class distributor of architectural building products for the benefit of our customers, vendor partners, employees and shareholders.\"\n \n \n In connection with the closing of the Acquisition, HDI closed on a new credit facility with its existing lender Bank of America, ...