FirstService, a leading property services company, has announced the acquisition of a controlling interest in commercial roofing company Roofing Corp of America. The deal, valued at $413 million, will allow FirstService to enhance its capabilities in property repair, maintenance, and restoration.
Strong Financial Position The acquisition will be funded by cash on hand and funds drawn under FirstService’s existing revolving bank credit facility, which now has a borrowing capacity of $1.25 billion. This demonstrates FirstService’s robust financial position and its commitment to strategic growth.
Continuity in Leadership Roofing Corp, headquartered in Atlanta, will retain its senior leadership team, including Chief Executive Randy Korach. They will continue to operate the business and maintain the balance of the company’s equity.
Revenue and Margins Roofing Corp currently generates annual revenue of approximately $400 million. Its operating margins are slightly higher than the consolidated margin profile across FirstService. This acquisition is expected to contribute positively to FirstService’s financial performance.
Expansion Strategy The addition of Roofing Corp to FirstService’s portfolio follows a series of recent deals, including the acquisitions of Toronto-based Crossbridge Condominium Services and Nashville-based Case Restoration. These acquisitions further strengthen FirstService’s position as a leader in the property services industry.
In conclusion, FirstService’s acquisition of Roofing Corp of America marks another significant step in expanding their property repair capabilities. With a solid financial foundation and a focus on strategic growth, FirstService continues to build its portfolio of successful companies in the industry.