Louisiana-Pacific Corporation (LP) announced an arrangement agreement to acquire International Barrier Technology for USD 22 million. According to the announcement, the agreement is for 100% of the shares making Barrier a wholly owned subsidiary of LP. The transaction is subject to the approval of the Barrier shareholders and satisfaction of customary conditions, including court approval. The acquisition is expected to close by the end of 2017.
International Barrier Technology is a British Columbia company publicly traded on the TSX Venture Exchange. It manufactures the fire retardant coating used in LP® FlameBlock® fire rated products.
Brad Southern, LP’s COO, commented:
“We are confident that this acquisition will help accelerate our growth into new markets. Over the last seven years we have validated the market acceptance of the FlameBlock brand and demonstrated strong sales growth. Flame retardant products are a key development target of our Growth and Innovation plans”
Barrier will operate as part of LP’s OSB business.
Earlier Louisiana-Pacific appointed 4 new senior managers.
The corporation is a leading manufacturer of quality engineered wood building materials including OSB, structural framing products, and exterior siding for use in residential, industrial and light commercial construction. From manufacturing facilities in the U.S., Canada, Chile and Brazil, LP products are sold to builders and homeowners through building materials distributors and dealers and retail home centers. Founded in 1973, LP is headquartered in Nashville, Tennessee and traded on the New York Stock Exchange under LPX.