BUILDING PRODUCTS & MATERIALS

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www.harriswilliams.com

Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised and regulated by the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.

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B

UILDING

P

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G

ROUP

O

VERVIEW



WHAT WE’RE READING



PUBLIC MARKETS



PUBLIC COMPARABLES



M&A ACTIVITY

CONTACTS

Mike Hogan

Managing Director

[email protected]

+1 (804) 915-0104

Ryan Nelson

Managing Director

[email protected]

+1 (804) 915-0121

Trey Packard

Vice President

[email protected]

+1 (804) 887-6016

INTRODUCTION

Harris Williams & Co. is pleased to present our Building Products and Materials

Industry Update for September 2015.

This report provides commentary and

analysis on current capital market trends and merger and acquisition dynamics

within the global building products and materials industry.

We hope you find this edition helpful and encourage you to contact us directly if

you would like to discuss our perspective on current industry trends and M&A

opportunities or our relevant industry experience.

OUR PRACTICE

Harris Williams & Co. is a leading advisor to the building products and materials

industry. Our significant experience covers a broad range of end markets,

industries, and business models.

Construction

Materials

Building

Products

Distribution &

Services

has been acquired by a portfolio company of

a portfolio company of

has been acquired by a portfolio company of has been acquired by

has been acquired by

Select Atlanta, Georgia aggregates assets of LaFarge SA have been acquired by has been acquired by

a division of a subsidiary of



Aggregates



Asphalt



Aluminum



Bricks



Clay



Glass



Precast Concrete / Ready Mix

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Steel



Stone



Acoustical



Cabinets and



Countertops



Carpet and Flooring



Gypsum / Wallboard



Electrical Fixtures



HVAC



Lumber



Plumbing Fixtures



Roofing



Siding



Tools and Hardware



Windows and Doors



Architectural and



Engineering



Installation and



Contracting



Lumber and



Hardware



Plumbing



Roofing and Siding



Site Development



Wallboard

Construction

Materials

Building Products

Distribution &

_Services

a division of a portfolio company of

has been acquired by a subsidiary of

has been acquired by a portfolio company of a portfolio company of

has been acquired by has been acquired by a portfolio company ofa portfolio company of

is being acquired by

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OLDCASTLE BUILDINGENVELOPE ACQUIRES C.R. LAURENCE CO.

U.S. HOME-BUILDER CONFIDENCE CLIMBS IN SEPTEMBER, INDUSTRY GROUP SAYS

U.S. HOUSING STARTS FALL 3% IN AUGUST

10 TRENDS DEFINING THE CONSTRUCTION INDUSTRY

Window & Door

8/27/2015

Oldcastle BuildingEnvelope, a CRH Group company, has executed a binding agreement, subject to regulatory

approval, to acquire C.R. Laurence Co. Inc., according to an August 27 release. Headquartered in Los Angeles,

California, CRL will continue to be independently managed and operated as a subsidiary of OBE and will retain all

existing management structures and personnel. The company has eight manufacturing and engineering centers and

28 service centers across the U.S. and Canada, and an additional six operations in the United Kingdom, Denmark,

Germany, and Australia.

Read the full article

here

.

The Wall Street Journal

9/16/2015

A gauge of home-builder sentiment this month rose to its highest level since November 2005, a sign the U.S. housing

market is shaking off worries about the global economy and volatile financial markets.

An index of builder

confidence in the market for new single-family homes rose to a seasonally-adjusted level of 62 in September, the

National Association of Home Builders said Wednesday. A reading over 50 means most builders generally see

conditions as positive. The index stood at 61 in August and 60 in July. Economists surveyed by The Wall Street Journal

expected a reading of 61 in September.

Read the full article

here

.

The Wall Street Journal

9/17/2015

Home-building in the U.S. slipped in August, with declines in both single-family and apartment-building construction.

U.S. housing starts fell 3% from a month earlier to a seasonally adjusted annual rate of 1.126 million last month, the

Commerce Department said Thursday. Economists surveyed by The Wall Street Journal had expected August housing

starts to fall 2.5% to 1.18 million. Several economists noted that higher levels of multifamily starts in June and July were

due to developers rushing to begin construction in New York before the expiration of an affordable housing tax credit,

and said August’s drop didn’t signal weakness in the housing market.

Read the full article

here

.

Construction Dive

8/26/2015

When experts discuss rapidly evolving industries, construction rarely makes its way into the conversation. In some ways,

this exclusion is warranted, as veteran construction managers and executives have often been resistant to major

advancements and new methods in their industry. Kevin Max, managing director of major projects advisory at

KPMG’s New York office, called construction "an industry that evolves and moves rather slowly" during an interview

with Construction Dive in May. Change, however, is becoming a more welcome concept for builders, as many are

embracing innovations and changing consumer tastes. At the same time, trends in the markets have a major impact

on construction professionals, who must constantly keep up with the strength of the industry as it struggles to get back

on its feet.

Read the full article

here

.

NEW STUDY FINDS GREEN CONSTRUCTION IS MAJOR U.S. ECONOMIC DRIVER

Concrete Construction

9/16/2015

The green building sector is outpacing overall construction growth in the U.S. and will account for more than 2.3 million

American jobs this year, according to a new U.S. Green Building Council (USGBC) study from Booz Allen Hamilton

(NYSE:BAH). The 2015 Green Building Economic Impact Study, released today by USGBC and prepared by Booz Allen,

finds the green building industry contributes more than $134.3 billion in labor income to working Americans. The study

also found that green construction's growth rate is rapidly outpacing that of conventional construction and will

continue to rise and will account for 3.3 million jobs by 2018.

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P

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ARKETS

MEDIAN TEV / 2015 EBITDA

MEDIAN REVENUE GROWTH (2014 – 2015P)

MEDIAN EBITDA MARGIN (2013 – 2015P)

MEDIAN EBITDA GROWTH (2014E-2015P)

MEDIAN CAPEX / REVENUE (2015E)

MEDIAN REVENUE GROWTH (2011 – 2014)

HISTORICAL STOCK PRICES

(SEPTEMBER 21ST, 2010 – SEPTEMBER 21

ST

_{, 2015)}

9.9%

8.7%

7.3%

Building Products Distributors

Building Products Building Materials

3.8%

6.3%

6.7%

4.9%

12.8%

14.5%

8.8%

13.9%

1.9%

Building Products Distributors Building Products Building Materials

1.2%

2.7%

5.9%

11.7x

11.1x

8.8x

Building Products Building Materials 6.0x 7.0x 8.0x 9.0x 10.0x 11.0x 12.0x 13.0x

Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15

Building Materials Index Building Products Index

Building Products Distributors Index S&P 500 Index

HISTORICAL MEDIAN TEV / NTM EBITDA

(SEPTEMBER 21ST, 2010 – SEPTEMBER 21

ST

_{, 2015)}

(40%) (20%) 0% 20% 40% 60% 80% 100% 120% 140% 160%

Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15

Building Materials Index Building Products Index

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OMPARABLES

BUILDING PRODUCTS

Stock Performance

Current % of 2014 TEV / EBITDA Price LTM High Mkt Cap TEV Revenue EBITDA Margin 2015 2016

ASSA ABLOY AB $17.66 81.4% $19,611 $22,410 $7,265 $1,312 18.1% 15.2x 14.0x

Mohawk Industries Inc. 183.79 86.6% 14,154 17,486 7,803 1,161 14.9% 12.7x 10.8x

Masco Corporation 25.82 90.3% 9,008 11,104 8,521 1,003 11.8% 10.7x 9.7x

Fortune Brands Home & Security, Inc. 48.12 90.8% 7,887 9,055 4,014 498 12.4% 14.3x 11.9x

Lennox International, Inc. 115.61 91.1% 5,325 6,333 3,367 387 11.5% 13.9x 12.0x

Owens Corning 42.92 89.6% 5,234 7,371 5,276 717 13.6% 9.3x 8.2x

USG Corporation 26.55 80.8% 4,045 5,941 3,724 454 12.2% 10.0x 8.7x

Kingspan Group plc 25.04 93.0% 4,426 4,963 2,289 229 10.0% 15.2x 13.2x

Armstrong World Industries, Inc. 48.58 80.0% 2,804 3,639 2,515 313 12.5% 9.8x 8.8x

Masonite International Corporation 62.29 85.0% 1,934 2,292 1,838 117 6.3% 12.1x 9.5x

Interface Inc. 22.62 83.3% 1,505 1,693 1,004 113 11.3% 10.9x 9.3x

Trex Co. Inc. 34.51 59.8% 1,120 1,153 392 84 21.4% 11.7x 9.5x

Nortek Inc. 63.03 67.8% 1,053 2,509 2,546 242 9.5% 8.5x 7.7x

American Woodmark Corp. 64.28 91.3% 1,082 914 807 57 7.0% 10.7x 9.3x

Ply Gem Holdings, Inc 12.60 82.4% 870 1,891 1,567 119 7.6% 11.0x 8.2x

Continental Building Products, Inc. 20.64 85.3% 887 1,201 425 115 27.0% 8.9x 7.5x

NCI Building Systems Inc. 10.50 50.4% 793 1,200 1,383 69 5.0% 9.1x 7.4x

Tyman plc 4.42 85.1% 744 902 547 84 15.4% 9.7x 9.1x

Quanex Building Products Corporation 18.63 85.0% 646 711 597 45 7.5% 11.0x 7.5x

PGT, Inc. 12.33 75.7% 619 765 306 44 14.2% 10.7x 9.0x

Overall Median 85.0% 12.0% 10.8x 9.2x Overall Mean 81.7% 12.5% 11.3x 9.6x

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DISTRIBUTORS

Current % of 2014 TEV / EBITDA Price LTM High Mkt Cap TEV Revenue EBITDA Margin 2015 2016

Wolseley plc $63.49 95.0% $16,286 $18,199 $20,129 $1,381 6.9% 11.6x 10.3x

HD Supply Holdings, Inc. 28.91 78.5% 6,100 11,210 9,097 856 9.4% 12.6x 11.3x

Beacon Roofing Supply, Inc. 33.74 90.9% 1,699 1,973 2,371 126 5.3% 11.4x 9.0x

Builders FirstSource, Inc. 13.51 80.9% 1,512 1,881 1,604 61 3.8% N/A N/A

Stock Building Supply Holdings, Inc. 17.85 70.8% 464 545 1,296 32 2.5% 11.4x 8.0x

Hardwoods Distribution Inc. 11.81 84.9% 201 238 389 22 5.7% 9.4x 8.4x

CanWel Building Materials Group Ltd. 4.11 84.0% 180 322 656 25 3.8% 12.3x 9.4x

Bluelinx Holdings Inc. 0.71 52.6% 66 542 1,979 23 1.2% NA NA

Huttig Building Products Inc. 3.07 74.5% 77 152 642 14 2.1% NA NA

Goodfellow Inc. 6.72 81.6% 57 107 409 13 3.1% NA NA

Taiga Building Products Ltd. 0.58 81.1% 19 231 1,104 35 3.1% NA NA

Overall Median 81.1% 3.8% 11.4x 9.2x Overall Mean 79.5% 4.3% 11.4x 9.4x

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OMPARABLES

BUILDING MATERIALS

Current % of 2014 TEV / EBITDA Price LTM High Mkt Cap TEV Revenue EBITDA Margin 2015 2016 Aggregates and Cement

LafargeHolcim Ltd. $50.70 67.0% $17,348 $29,181 $19,238 $3,755 19.5% 4.6x 4.2x

CRH plc 26.77 84.3% 22,015 23,505 22,892 1,972 8.6% 9.5x 7.0x

HeidelbergCement AG 68.52 79.2% 13,168 21,410 15,281 2,472 16.2% 7.4x 6.6x

Vulcan Materials Company 87.55 85.3% 12,256 14,227 2,994 575 19.2% 17.4x 13.1x

CEMEX, S.A.B. de C.V. 0.67 67.2% 8,901 23,859 14,228 2,482 17.4% 8.4x 7.2x

Martin Marietta Materials, Inc. 153.57 86.0% 10,679 12,295 2,679 588 22.0% 14.6x 11.4x

Eagle Materials Inc. 70.21 68.2% 3,675 4,191 1,032 284 27.5% 10.7x 8.6x

Summit Materials, Inc. 19.53 67.3% 1,023 2,026 1,204 174 14.4% 7.5x 5.8x

Median 73.7% 18.3% 8.9x 7.1x Mean 75.6% 18.1% 10.0x 8.0x Heavy Construction Materials

James Hardie Industries plc $12.44 88.7% $5,559 $5,850 $1,622 $348 21.5% 13.5x 11.6x

Boral Limited 3.72 77.1% 2,770 3,335 3,643 338 9.3% 7.8x 7.4x

Headwaters Incorporated 18.33 84.2% 1,421 1,897 825 134 16.2% 11.1x 9.6x

U.S. Concrete, Inc. 45.39 78.8% 673 939 704 70 9.9% 8.2x 6.7x

Median 81.5% 20.7% 9.7x 6.7x Mean 82.2% 14.2% 10.2x 8.8x Lumber and Wood Products

Weyerhaeuser Co. $26.91 72.6% $13,986 $18,281 $7,693 $1,722 22.4% 12.4x 10.0x

West Fraser Timber Co. Ltd. 34.83 59.3% 2,966 3,253 3,330 497 14.9% 8.8x 5.5x

Canfor Corp. 12.51 52.4% 1,753 2,163 2,891 442 15.3% 7.3x 4.4x

Louisiana-Pacific Corp. 14.67 78.7% 2,177 2,452 1,935 16 0.8% N/A 10.9x

Norbord, Inc. 14.99 68.6% 1,340 2,067 1,198 89 7.4% N/A N/A

Boise Cascade Company 26.03 59.3% 1,042 1,199 3,574 196 5.5% 7.0x 5.8x

Universal Forest Products Inc. 59.25 91.2% 1,197 1,331 2,660 130 4.9% 8.3x 7.6x

Median 68.6% 7.4% 8.3x 6.7x Mean 68.9% 13.9% 8.0x 7.4x Overall Median 77.1% 15.3% 8.4x 7.3x

Overall Mean 74.5% 14.4% 9.7x 8.0x

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M&A T

RANSACTIONS

Announced

Date Target Vertical Business Description Acquirer

9/15/2015 Norandex Building

Materials Distribution, Inc.

Distribution Norandex Building Materials Distribution, Inc. distributes roofing,

windows, decking, vinyl products, composites, shingles, siding, doors, and a wide variety of building accessories.

American Builders & Contractors Supply Co., Inc.

9/14/2015 Murray Supply Company,

LLC

Distribution Murray Supply Company, LLC, a wholesale distributor, supplies

commercial and residential plumbing products in North Carolina.

Morrison Supply Company, LLC

9/10/2015 Karona, Inc. Building Products Karona, Inc. manufactures commercial and residential doors. JELD-WEN, inc.

9/2/2015 Skyline Group of

Companies

Building Products Skyline Group of Companies provide commercial and residential roofing

products for the residential and commercial builders, homeowners, building owners, and property managers.

Thermal Systems KWC Ltd.

9/1/2015 Capitoline Products, Inc. Building Products Capitoline Products, Inc. manufactures post formed countertops, high

pressure laminate panels, finished high pressure laminate panel component parts, and extended plywood.

VT Industries, Inc.

8/31/2015 Woodcraft Building Products Woodcraft, through its subsidiaries, manufactures and sells hardwood

cabinet doors, hardwood components, and engineered wood products.

Quanex Building Products Corporation

8/28/2015 E&A Materials, Inc., Select Assets

Building Materials E&A Materials, Inc. mines and supplies construction aggregates. It

offers concrete sand, masonry sand, fill sand, asphalt sand, rocks, gravel and other specialty products.

U.S. Concrete, Inc.

8/27/2015 C.R. Laurence Co., Inc. Building Products C.R. Laurence Co., Inc. designs, engineers, manufactures, and supplies

architectural hardware for glazing, railing, architectural, construction, industrial, food service, and automotive industries worldwide.

Oldcastle

BuildingEnvelope, Inc.

8/20/2015 Robert Bowden, Inc. Building Products Robert Bowden, Inc. manufactures, assembles, sells, installs, and

services various building materials for the construction professionals and homebuilders in Georgia.

Building Materials Holding Corporation

8/19/2015 Superior Manufacturing

Group, Inc.

Building Products Superior Manufacturing Group, Inc. manufactures floor mat products. Checkers Industrial Safety

Products, Inc.

8/12/2015 Quest Construction

Products, LLC

Building Products Quest Construction Products, LLC manufactures protective systems and

coatings for the construction industry.

Building Materials Corporation of America, Inc.

8/11/2015 Lindab Inc. Building Products Lindab Inc. engages in the development, manufacture, and marketing

of sheet metal products for the heating, ventilation, and air conditioning (HVAC) industry.

Ductmate Industries, Inc.

8/4/2015 Martin Marietta Materials,

Inc., California Cement Business Assets

Building Materials Martin Marietta Materials, Inc., supplies aggregates products and

heavy building materials for the construction industry in the U.S. and internationally.

CalPortland Company, Inc.

8/4/2015 Select Aggregate and

Ready-Mixed Concrete Facilities

Building Materials Three Aggregates Facilities and Seven Ready-Mixed Concrete

Operations in Arizona and New Mexico were acquired by Vulcan Materials Company.

Vulcan Materials Company

8/4/2015 Midwest Millwork, Inc. Building Products Midwest Millwork, Inc. manufactures cabinets, doors, millwork,

windows, hardware, plywood, framing lumber, and building materials.

Bliffert Lumber & Fuel Company, Inc.

8/3/2015 Western Window Systems Building Products Western Window Systems designs and manufactures aluminum

windows, fixed operating windows, sliding glass doors, muti-slide doors, casement hinged windows, and other window/door accessories.

PWP Growth Equity

8/3/2015 Alaska Industrial

Hardware, Inc.

Distribution Alaska Industrial Hardware, Inc. operates as a retailer and distributor of

hand and power tools, builder hardware, contractor and industrial supplies, and maintenance and safety products in Alaska.

Bering Straits Native Corporation

8/3/2015 MGM Industries,

Incorporated

Building Products MGM Industries, Incorporated produces custom PVC vinyl window and

door products for homeowners, builders, and remodelers.

Custom Window Systems, Inc.

7/31/2015 Beatrice Concrete

Company, Inc.

Building Products Beatrice Concrete Company, Inc. produces sand, gravel, and crushed

rock.

NEBCO, Inc.

7/29/2015 Structus Building

Technologies, Inc.

Building Products Structus Building Technologies, Inc. designs and manufactures building

products for the drywall industry.

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M&A T

RANSACTIONS

Announced

7/29/2015 US LBM Holdings, LLC Distribution US LBM Holdings, LLC, through its subsidiaries, distributes building

materials in the Midwest, Northeast, Southeast, the Mid-Atlantic, and Western United States.

Kelso & Company; BlackEagle Partners, LLC

7/29/2015 Watts Water Technologies,

Inc., Select Assets

Building Products Select assets of Watts Water Technologies, Inc., including facilities

related to brass fittings, brass & tubular and vinyl tubing product lines for homes.

Sioux Chief Manufacturing Company, Inc.

7/27/2015 Roofing Supply Group, LLC Distribution Roofing Supply Group, LLC distributes and markets roofing materials and

related building products in the United States.

Beacon Roofing Supply, Inc.

7/22/2015 Interline Brands Inc. Distribution Interline Brands, Inc., together with its subsidiaries, operates as a

distributor and direct marketer of broad-line maintenance, repair, and operations products in the United States, Canada, and Central America.

The Home Depot, Inc.

7/21/2015 Madawaska Doors, Inc. Building Products Madawaska Doors, Inc. manufactures and markets wooden doors. Plaintree Systems Inc.

7/17/2015 House of Doors, Inc. Distribution House of Doors, Inc. supplies, installs, and services commercial and

residential sectional doors, rolling steel doors, dock equipment, and wood carriage house doors.

Material Handling Services, LLC

7/15/2015 Cali Bamboo, LLC Building Products Cali Bamboo, LLC manufactures green building products for residential

and commercial projects.

High Road Capital Partners

7/14/2015 Better Life Technology, LLC Building Products Better Life Technology, LLC manufactures and supplies roll-out garage

and concrete basement floor covers worldwide.

Century Park Capital Partners

7/2/2015 BD Enterprises, Inc. Distribution BD Enterprises, Inc., doing business as Single Source Cabinet Supplies,

distributes and sells laminates, millwork, and cabinetry supplies.

Richelieu Hardware Ltd.

7/1/2015 Jarvis Supply Company,

Inc.

Distribution Jarvis Supply Company, Inc. distributes industrial tooling to machine

shops in Colorado and beyond.

BlackHawk Industrial Distribution, Inc.

6/30/2015 Advanced Flooring and

Design LLC

Building Products Advanced Flooring and Design LLC manufactures floor covering and

interior finish products to builders and homebuyers.

Interior Specialists, Inc.

6/24/2015 Golden State Window &

Door Design

Building Product Distribution

Golden State Window & Door Design supplies doors, windows, molding, and mantles to residential and commercial customers.

Golden State Lumber, Inc.

6/23/2015 C.H.I. Overhead Doors,

Inc.

Building Products C.H.I. Overhead Doors, Inc. manufactures residential, commercial,

rolling steel, and garage doors for residential and business applications.

KKR & Co. L.P

6/19/2015 Craft Equipment Company Distribution Craft Equipment Company distributes material handling, storage, and

waste reduction equipment in Alabama, Florida, Georgia, South Carolina, and Tennessee.

Material Handling Services, LLC

6/17/2015 Anchor Block Company

and Anchor Wall Systems, Inc.

Building Materials Anchor Block Company designs, manufactures, and sells concrete

landscape and masonry products.

Oldcastle Architectural, Inc.

6/11/2015 Oldcastle Surfaces, Inc. Building Materials Oldcastle Surfaces, Inc. manufactures and markets countertops and

solid surfaces.

Seven Stone Surface Fabrication, Inc.

6/10/2015 Kentec, Inc. Distribution Kentec, Inc. distributes commercial quality tools, pneumatic nailing and

stapling systems, foam insulation, and adhesives.

Southern Fastening Systems, Inc.

6/8/2015 Rock Ridge Stone Inc. Building Materials Rock Ridge Stone Inc. quarries, manufactures, and distributes natural

stone products for outdoor applications in the residential and commercial construction markets.

Salt Creek Capital II, LLC

6/4/2015 A.H. Harris & Sons, Inc. Distribution A.H. Harris & Sons, Inc. distributes and sells construction supplies to

heavy and highway construction, commercial, industrial, and residential markets.

Frontenac Company

6/3/2015 Stock Building Supply

Holdings, Inc.

Distribution Stock Building Supply Holdings, Inc., together with its subsidiaries,

distributes lumber and building materials in the United States.

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M&A T

RANSACTIONS

Announced

6/3/2015 Stock Building Supply

Holdings, Inc.

Distribution Stock Building Supply Holdings, Inc., together with its subsidiaries,

distributes lumber and building materials in the United States.

6/3/2015 Insulation Fabricators, Inc. Building Products Insulation Fabricators, Inc. fabricates and distributes thermal and

acoustical insulation products for industrial and commercial markets.

Distribution International, Inc.

6/2/2015 Mason Corporation Building Products Mason Corporation manufactures aluminum building products for the

residential and light commercial markets. Its products include glass enclosures, retractable doors, awnings, and patio covers.

Superior Metal Products Co., Inc.

6/1/2015 ProCoat Systems, Inc. Distribution ProCoat Systems, Inc. supplies building materials to commercial and

residential construction projects in Colorado and surrounding areas.

Beacon Roofing Supply, Inc.

6/1/2015 DuBROOK Concrete, Inc. Building Materials DuBROOK Concrete, Inc. manufactures and delivers ready-mixed

concrete in the northern Virginia market through its three ready-mixed concrete batch plants and fleet of 42 mixer trucks.

U.S. Concrete, Inc.

5/31/2015 Thermo-Cell Industries

Limited

Building Products Thermo-Cell Industries Limited manufactures thermal and acoustical

cellulose insulation, specialty fibers, and hydroseeding mulches.

US GreenFiber, LLC

5/29/2015 The Wolf Organization, Inc. Distribution The Wolf Organization, Inc., through its subsidiaries, distributes kitchen

and bath cabinets, and specialty building products in the United States.

Quad-C Management, Inc.

5/27/2015 Advanced Building

Products, Inc.

Building Products Advanced Building Products, Inc. manufactures and installs aluminum

replacement and storm windows. It also engages in distributing residential exterior building materials such as siding, and roofing.

SRS Distribution, Inc.

5/22/2015 Colonial Concrete

Company, Inc.

Building Materials Colonial Concrete Company, Inc. produces ready-mix concrete and

offers products for footing applications, light weight mixes for elevated slabs, flyash mixes, curbs and sidewalks, and color concrete.

U.S. Concrete, Inc.

5/11/2015 Infiltrator Systems Inc.

(nka:Infiltrator Water Technologies, LLC)

Building Products Infiltrator Water Technologies, LLC manufactures and sells wastewater

systems for homes.

Ontario Teachers' Pension Plan

5/7/2015 Simon Contractors.,

Cheyenne, Wyoming Asphalt Terminal

Building Materials Blueknight Energy Parterns has acquired a Cheyenne, Wyoming asphalt

terminalling facility previously owned by Simon Contractors, a multi-state, heavy highway contractor.

Blueknight Energy Partners, L.P.

5/4/2015 TruStile Doors, LLC Building Products TruStile Doors, LLC designs and manufactures doors. In addition the

company provides design, planning, and support services. TruStile is based in Denver, CO.

Marvin Windows and Doors, Inc.

4/22/2015 Holcim Ltd., Cement

Facilities in USA

Building Materials Holcim Ltd. divested its slag cement grinding facility in Camden, NJ, and

its cement terminal in Everett, MA. The acquisition will be finalized with the pending Holcim and LaFarge merger in 2015.

ESSROC Cement Corp.

4/20/2015 VNS Corporation Building Products Headquartered in Vidalia, Georgia, VNS operates six full line building

material stores, a wholesale company, a one step roofing yard, two manufacturing companies plus a construction services company.

4/17/2015 Direct Cabinet Sales, Inc. Distribution Direct Cabinet Sales, Inc. designs, distributes, sells, and installs

kitchen/bath/storage cabinetry and related products to residential, commercial, and new construction markets.

US LBM Holdings, LLC

4/17/2015 Rosen Materials, LLC Distribution Rosen Materials, LLC distributes residential and commercial building

products in the United States and the Caribbean.

US LBM Holdings, LLC

4/17/2015 Grabill Incorporated Building Products Grabill Incorporated manufactures designer windows and doors. Pella Corporation

4/17/2015 Lafarge North America

Inc., Cement Assets

Building Materials Lafarge North America Inc., Cement Assets comprise a cement plant in

Davenport, IA, plus seven Mississippi River cement distribution terminals that stretch from Minneapolis to New Orleans.

Continental Cement Company, LLC

4/15/2015 A1A Sod Sand & Soil, Inc. Distribution A1A Sod Sand & Soil, Inc. operates a retail and wholesale garden

center that offers a range of commercial and residential designs, delivery, and installations in South Florida.

A1 Group, Inc.

4/14/2015 Security Supply

Corporation

Distribution Security Supply Corporation markets plumbing, heating, and cooling

equipments.

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R

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T

RANSACTIONS

a portfolio company of

a division of

has been acquired by a division of

has been acquired by has been acquired by

a division of a subsidiary of

has been acquired by A Private Investor Group has completed a recapitalization with a portfolio company of

a subsidiary of

Select Atlanta, Georgia aggregates assets of LaFarge SA have been acquired

by has been acquired by

has been acquired by a portfolio company of have been acquired by

The Wichita, Kansas aggregates, concrete,

asphalt, and paving assets of LaFarge SA

Strategic Industries, LLC

Private Investors

has purchased certain assets of has been acquired by

a portfolio company of a portfolio company of

has been acquired by a division of

has sold certain assets to

portfolio companies of

Dyad Partners

a division of

a subsidiary of

has been acquired by a portfolio company of a portfolio company of

is being acquired by has been acquired by a portfolio company of

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Energy, Power

& Infrastructure

Industrials

Healthcare

& Life Sciences

Transportation

& Logistics

Aerospace, Defense

& Government

Services

Business

Services

Building Products

& Materials

Technology,

Media & Telecom

Specialty

Distribution

Consumer

H

ARRIS

W

ILLIAMS

& C

O

. O

FFICE

L

OCATIONS

UNITED STATES

EUROPE

Boston

Two International Place

24th Floor

Boston, Massachusetts 02110

Phone: +1 (617) 482-7501

Fax: +1 (617) 482-7503

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1900 East 9th Street

20th Floor

Cleveland, Ohio 44114

Phone: +1 (216) 689-2400

Fax: +1 (216) 689-2401

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222 South 9th Street

Suite 3350

Minneapolis, Minnesota 55402

Phone: +1 (612) 359-2700

Fax: +1 (612) 359-2701

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1001 Haxall Point

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Phone: +44 (0) 20 7518 8900

Fax: +44 (0) 20 7526 2187

NETWORK OFFICES

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Building Products

& Materials

Harris Williams & Co. has a broad range of industry expertise, which creates powerful opportunities.

Our clients benefit from our deep-sector experience, integrated industry intelligence and

collaboration across the firm, and our commitment to learning what makes them unique. For more

information, visit our website at www.harriswilliams.com/industries.

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H

ARRIS

W

ILLIAMS

& C

O

.

Bloomberg

Building Design & Construction

Building-Products.com

Bureau of Economic Analysis

Eurostat

Freedonia

Global Industry Analysts

IBIS

New York Times

PNC Economic Outlook

S&P Capital IQ

S&P Leveraged Commentary & Data

The Wall Street Journal

Thomson Financial – SDC Database

Thomson Reuters

U.S. Census Bureau

Harris Williams & Co. (www.harriswilliams.com) is a preeminent middle market investment bank focused on the advisory needs of clients worldwide. The firm has deep industry knowledge, global transaction expertise, and an unwavering commitment to excellence. Harris Williams & Co. provides sell-side and acquisition advisory, restructuring advisory, board advisory, private placements, and capital markets advisory services.

Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised and regulated by the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.

THIS REPORT MAY CONTAIN REFERENCES TO REGISTERED TRADEMARKS, SERVICE MARKS AND COPYRIGHTS OWNED BY THIRD-PARTY INFORMATION PROVIDERS. NONE OF THE THIRD-PARTY INFORMATION PROVIDERS IS ENDORSING THE OFFERING OF, AND SHALL NOT IN ANY WAY BE DEEMED AN ISSUER OR UNDERWRITER OF, THE SECURITIES, FINANCIAL INSTRUMENTS OR OTHER INVESTMENTS DISCUSSED IN THIS REPORT, AND SHALL NOT HAVE ANY LIABILITY OR RESPONSIBILITY FOR ANY STATEMENTS MADE IN THE REPORT OR FOR ANY FINANCIAL STATEMENTS, FINANCIAL PROJECTIONS OR OTHER FINANCIAL INFORMATION CONTAINED OR ATTACHED AS AN EXHIBIT TO THE REPORT. FOR MORE INFORMATION ABOUT THE MATERIALS PROVIDED BY SUCH THIRD PARTIES, PLEASE CONTACT US AT THE ABOVE ADDRESSES OR NUMBERS.

The information and views contained in this report were prepared by Harris Williams & Co. (“Harris Williams”). It is not a research report, as such term is defined by applicable law and regulations, and is provided for informational purposes only. It is not to be construed as an offer to buy or sell or a solicitation of an offer to buy or sell any financial instruments or to participate in any particular trading strategy. The information contained herein is believed by Harris Williams to be reliable, but Harris Williams makes no representation as to the accuracy or completeness of such information. Harris Williams and/or its affiliates may be market makers or specialists in, act as advisers or lenders to, have positions in and effect transactions in securities of companies mentioned herein and also may provide, may have provided, or may seek to provide investment banking services for those

companies. In addition, Harris Williams and/or its affiliates or their respective officers, directors and employees may hold long or short positions in the securities, options thereon or other related financial products of companies discussed herein. Opinions, estimates and projections in this report constitute Harris Williams’ judgment and are subject to change without notice. The financial instruments discussed in this report may not be suitable for all investors, and investors must make their own investment decisions using their own independent advisors as they believe necessary and based upon their specific financial situations and investment objectives. Also, past performance is not necessarily indicative of future results. No part of this material may be copied or duplicated in any form or by any means, or redistributed, without Harris Williams’ prior written consent.

BUILDING PRODUCTS & MATERIALS

www.harriswilliams.com

B

UILDING

P

RODUCTS

& M

ATERIALS

G

ROUP

O

VERVIEW

CONTENTS

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WHAT WE’RE READING

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PUBLIC MARKETS

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PUBLIC COMPARABLES

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M&A ACTIVITY

CONTACTS

Mike Hogan

Managing Director

[email protected]

+1 (804) 915-0104

Ryan Nelson

Managing Director

[email protected]

+1 (804) 915-0121

Trey Packard

Vice President

[email protected]

+1 (804) 887-6016

INTRODUCTION

Harris Williams & Co. is pleased to present our Building Products and Materials

Industry Update for September 2015.

This report provides commentary and

analysis on current capital market trends and merger and acquisition dynamics

within the global building products and materials industry.

We hope you find this edition helpful and encourage you to contact us directly if

you would like to discuss our perspective on current industry trends and M&A

opportunities or our relevant industry experience.

OUR PRACTICE

Harris Williams & Co. is a leading advisor to the building products and materials

industry. Our significant experience covers a broad range of end markets,

industries, and business models.

Construction

Materials

Building

Products

Distribution &

Services

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