Building products manufacturer NCI Building Systems entered into a unit purchasing agreement with Environmental Stoneworks. Under the terms of the agreement, NCI will pay $186 million for the stone veneer manufacturer and installer.
Based in Denver, Co., Environmental Stoneworks generated $160 million in revenues in 2017. According to the news release, Environmental Stoneworks is the only manufacturer and installer of stone veneer for the residential and commercial markets. The company has five manufacturing facilities and 21 installation centers across the United States. The transaction is expected to close during the first quarter of 2019.
"The acquisition of Environmental Stoneworks significantly increases NCI's geographical footprint in manufactured stone products, one of the fastest growing categories of exterior cladding materials,” said NCI CEO and chairman of the board James Metcalf. “It positions us to better serve our residential customers, while creating considerable cross-selling opportunities with our commercial customers.”
Chuck Stein, who served as the president and CEO of Environmental Stoneworks, will serve as the president of NCI’s combined stone businesses after the transaction closes.
NCI recently completed its acquisition and merger with exterior building products manufacturer Ply Gem in November. Both companies are exterior building products manufacturers—NCI specializes in the commercial construction market, while Ply Gem focuses on the residential construction market. The combined company is based in Cary, N.C., and has more than 80 manufacturing, distribution, and office locations across North America.