The BGL Industrials Insider -- Long-Term Outlook for the Building Products Industry Remains Favorable

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Jun 28, 2023, 14:44 ET

Pipelines Build While Investors Remain Cautious in the Current Building Products M&A Market

CLEVELAND, June 28, 2023 /PRNewswire/ -- While Building Products M&A activity has slowed, the pipeline of opportunities continues to grow as sellers await the opportune time to market their businesses amid uncertainties in the housing market and the broader economy, according to a new industry report released by the Building Products investment banking team of Brown Gibbons Lang & Company (BGL).

Read the BGL Industrials Insider— Pipelines Build While Investors Remain Cautious in the Current Building Products M&A Market: https://bit.ly/BuildingProductsInsiderbgl

While Building Products M&A activity has slowed, the pipeline of opportunities continues to grow as sellers await the opportune time to market their businesses amid uncertainties in the housing market and the broader economy, according to a new industry report released by the Building Products investment banking team of Brown Gibbons Lang & Company (BGL).

The issue also features exclusive insights from executives at Validor Capital, Renovo Capital, Drum Capital, and Stax. The insights address diverse building products industry trends ranging from the demand outlook and operational challenges to M&A and valuations. Key takeaways include:

The long-term outlook for the Building Products industry remains favorable.
While market uncertainty has left some investors sidelined, strategic buyers are leveraging their capital and synergies to complete accretive add-on acquisitions at reasonable valuations.
The financing market has pulled back leverage but continues to show appetite for high-quality assets.
Consolidation is continuing, with technological innovation and supply chain management cited among the drivers of acquisition activity in the coming months.

Despite headwinds, buyers continue to seek high-quality building products acquisition targets with strategic buyers leveraging the current buying environment to acquire tuck-in opportunities and private equity firms looking for platform investments at attractive valuations.

About Brown Gibbons Lang & Company
Brown Gibbons Lang & Company (BGL) is a leading independent investment bank and financial advisory firm focused on the global middle market. The firm advises private and public corporations and private equity groups on mergers and acquisitions, capital markets, financial restructurings, business valuations and opinions, and other strategic matters. BGL has investment banking offices in Chicago, Cleveland, Los Angeles, and New York, and real estate offices in Chicago, Cleveland, and San Antonio. The firm is also a founding member of Global M&A Partners, enabling BGL to service clients in more than 35 countries around the world. Securities transactions are conducted through Brown, Gibbons, Lang & Company Securities, LLC, an affiliate of Brown Gibbons Lang & Company LLC and a registered broker-dealer and member of FINRA and SIPC. For more information, please visit www.bglco.com.