Builders FirstSource to Acquire Alpine Lumber Company

Builders FirstSource, Inc. has announced an acquisition of Alpine Lumber Company, set to enhance its earnings per share in 2025. The deal supports strategic growth initiatives and reflects a commitment to high-value investments.

Date: 24-12-2024

AI Rating: 7

This report highlights Builders FirstSource, Inc. (BLDR) entering into an acquisition agreement with Alpine Lumber Company. This strategic move is expected to positively impact adjusted earnings per share (EPS) for Builders FirstSource in 2025, indicating potential revenue growth and profitability enhancements.

The acquisition is funded through existing cash and credit, which suggests a healthy balance sheet and liquidity position. Additionally, the expected closure of the deal in early 2025 provides a timeline for fiscal planning and integration of Alpine's operations into Builders FirstSource.

Alpine Lumber Company, with reported TTM (Trailing Twelve Months) sales of approximately $500 million, contributes significantly to the overall revenue prospects expected from the acquisition. This acquisition aligns with Builders FirstSource's strategic goal of investing in high-growth ventures, ultimately benefiting customer relationships, service quality, and profitability.

Given this positive trajectory concerning EPS and revenue growth, the acquisition is likely to lead to stronger market positioning and competitive advantages within the industry.

Stocks: BLDR