DALLAS, Oct. 7 -- Builders FirstSource along with Davidson Industries, Inc. announced today the acquisition of Davidson Lumber Company and Space Concepts by Builders FirstSource. The two Davidson companies,located in Indianapolis, represent $60 million in annual revenue. Davidson will become part of Builders FirstSource's Central division. The terms of the acquisition were not disclosed.
Davidson Industries, Inc. has operated its lumber business for the past 75 years in the Indianapolis market area. Currently the company is owned and operated by Larry Davidson and his sister, Debbie Hillenburg, third generation owners of the business. Ted Davidson, the founder of the company, was admired as an entrepreneur that introduced products such as wood roof trusses, pre-built wall panels and pre-hung door units to the Indianapolis market.
Floyd Sherman, Chairman and CEO of Builders FirstSource commented, "We are pleased to have this outstanding company join Builders FirstSource. Davidson fits our strategy perfectly. The company is the clear market leader in a strong area and has a significant truss and wall panel manufacturing capability.
Larry Davidson, President of Davidson Industries, Inc. commented that, "It was important that the company become part of an organization that shares our philosophies and market approach. We found that company in Builders FirstSource."
Mr. Sherman added, "Our industry consolidated rapidly in the late 1990s. Over the last several years, the pace of acquisition activity and companies interested in being sold has slowed significantly. We have used that time to integrate our company and strengthen our operations and balance sheet. It now appears as if the acquisition market might become more active and we are well positioned to take advantage of this activity."
Headquartered in Dallas, Texas, Builders FirstSource is one of the nation's leading suppliers of building materials to professional homebuilders in the United States. Builders FirstSource operates 82 manufacturing facilities and 58 distribution centers in 70 cities within 11 states.
