PrimeSource acquiring Wolf Home Products
In another major industry consolidation move, PrimeSource Brands has signed a definitive agreement to acquire Wolf Home Products from affiliates of Tenex Capital Management.
Based in York, Pa., Wolf is a provider of branded kitchen and bath, outdoor living, and specialty exterior building products for residential applications with more than 175 years of history behind the company.
This transaction marks PrimeSource’s third acquisition under the financial sponsorship of Clearlake Capital Group. Financial terms were not disclosed.
Among its offerings, Wolf designs and supplies cabinetry, vanities, countertops, decking, and railing, among other residential building products. Wolf services the pro dealer channel with short lead times by leveraging its distribution network and dealer-direct delivery model, the company said.
“We are thrilled to welcome Wolf into the PrimeSource Brands family,” said Tom Koos, CEO of PrimeSource. “CEO Craig Danielson and his team have created a terrific service model that differentiates Wolf from anyone in their space, and the national footprint and overall scale PrimeSource brings will enable them to expand rapidly.”
“Our investment was driven by our thematic-based approach to investing in the building products industry and our experience in specialty distribution,” José E. Feliciano, co-founder and managing partner at Clearklake, and Colin Leonard, Clearlake partner, said in a press release issued this morning.
The Clearlake partners also said that PrimeSource benefits from significant market tailwinds as new residential construction ramps up to meet strong pent-up demand. “We believe the platform can play a unique role as a consolidator in this space.”
Fidus Partners acted as the lead financial advisor to Wolf and Tenex. Deutsche Bank Securities Inc. provided PrimeSource a fully committed credit facility for the acquisition to supplement a significant new equity investment from Clearlake.
In a pending translation, Clearlake recently sold the rising pro dealer American Construction Source to building materials distribution powerhouse US LBM.
PrimeSource is a national provider of specialty branded residential building products. The company’s product offering spans more than 60,000 SKUs, including construction fasteners, cabinet knobs & pulls, fence & gate hardware, railing systems & infill, perimeter security solutions, among others.