Hardwoods Distribution acquired Eagle Plywood and Lumber in the US

Hardwoods Distribution announced that it has, through its’ subsidiary Rugby Holdings LLC purchased substantially all of the assets and assumed certain liabilities of Eagle Plywood and Lumber for a total value of USD 0.4 million plus up to an additional USD 0.2 million subject to future sales performance.

Eagle Plywood and Lumber is a single site wholesale distributor located in Dallas, Texas, USA with estimated annual sales of USD5.0 million. The company distributing non-structural architectural grade building products to customers that supply end-products to the commercial, industrial, retail, residential and institutional construction end-markets.

According to the announcement, the assets and sales associated with the Eagle acquisition will be consolidated into the company’s existing Rugby distribution facility in Dallas.

Rob Brown, Hardwoods’ President and CEO, commented:

“This acquisition is a good example of our ability to leverage the robust pipeline we acquired as part of the acquisition of Rugby Architectural Building Products last year. Dallas is a significant market and the addition of Eagle to our existing operations in the region adds customers and bench strength to our team.”

The Transaction purchase price was financed by a draw on the Company’s existing US credit facility

Earlier Hardwoods Distribution declared a quarterly dividend of USD 0.0625 per share, payable January 31, 2017 to shareholders of record as at January 20, 2016.

 

About Hardwoods Distribution:

The company is one of North America’s largest wholesale distributors of hardwood lumber and related sheet good products, operating a network of 62 distribution centers across the region, as well as a hardwood sawmill and kiln drying operation in the U.S.

Source: Woodbizforum