Delray Beach, Florida – January 7, 2024—In keeping with Anchor Peabody’s history of offering investment banking and thought leadership to U.S. building and home service industry sectors with the most active merger and acquisition (“M&A”) transaction activity – Anchor Peabody has initiated coverage of the U.S. roofing and siding market. Our coverage will include all the constituents in and around roofing and siding supply chain, with a goal of accumulating the type of granular industry knowledge necessary to help our clients achieve outsized outcomes in their M&A transactions.
Leading Anchor Peabody’s Roofing & Siding practice is Mr. Aaron Toomey, who joined Anchor Peabody as a Managing Director in 2021 to cover the flooring industry where his transactions include the sale of Encore Building Products as well as STC Floors (formerly Swiff-Train). Prior to joining Anchor Peabody, Mr. Toomey executed M&A transactions for a variety of building industry companies representing successful entrepreneurs and leading private equity firms with Truist Securities.
A need for specialized, high-horsepower, industry-focused investment banking services – particularly for roofing contractors.
Private equity activity in roofing and siding has been robust and driving consolidation, with almost 50 platform investments by financial sponsors in the roofing contracting space alone. While this sub-sector of the roofing and siding industry remains highly fragmented, with the top 5 companies account for less than 5% of the total market, the benefits to scale continue to drive M&A activity. Benefits of consolidation include labor and schedule optimization, centralized marketing and lead generation, and administrative burdens dealing with insurance companies and commercial clients. Institutional capital is particularly enticed by the non-discretionary nature of re-roofing (for both commercial and residential end-users), low capital investment, and strong margins. Although new construction-focused contractors face more cyclicality, sound timing advice from investment bankers has proved key for these businesses with regards to M&A.
Anchor Peabody believes these industry dynamics are going to drive consolidation for the foreseeable future. Our mandate is to help clients navigate these complexities and explain the levers which drive value in a M&A process. Our roofing and siding practice is ideally suited to offer unique, best-in-class advice to help the industry, as we seek to close the significant multiple arbitrage gap which exists today for the industry’s best independents and to help businesses and entrepreneurs drive outsized outcomes when the time is right to transact.
Connect With Us at the Upcoming International Roofing Expo
From February 6 – 8 2024, we will be attending the International Roofing Expo in Las Vegas. If you would like to meet with Aaron Toomey to discuss anything currently going on in roofing, please contact him at [email protected] or call at (917) 520-2256.
About Anchor Peabody
Anchor Peabody is an investment banking firm with a 100% focus on the U.S. building and home services industry. As one of the largest building and home services industry-focused teams in the country, Anchor Peabody has over 100 years of capital markets and mergers & acquisition experience. The Anchor Peabody model has drawn talent from the world’s most prestigious investment banking firms into a modern approach to investment banking, designed to deliver outsized results for our clients via an employee-first culture, granular industry knowledge, and complete interest alignment with client objectives. For more information, visit anchorpeabody.com.