Gibraltar Strengthens Roofing Portfolio With $1.3 Billion Omnimax Acquisition

• Omnimax is expected to generate $565 million in FY2025 adjusted net sales and $110 million in adjusted EBITDA.
• The purchase price is 8.4 times OmniMax’s expected 2025 EBITDA, after factoring in $35 million in planned cost savings and about $100 million in tax benefits.
• ROCK stock is down 3.6% in premarket trading on Monday.

Gibraltar Industries, Inc. (ROCK), on Monday, signed an agreement to acquire OmniMax International for $1.335 billion.

ROCK stock was down 3.6% at $57 in premarket trade.

Why Did Gibraltar Acquire OmniMax?

Gibraltar will acquire Omnimax from Strategic Value Partners and its affiliates, with the transaction expected to be completed in the first half of fiscal year 2026.

The target company is a residential roofing accessories and rainware solutions provider that is expected to generate $565 million in adjusted net sales and $110 million in adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) in 2025. Its brands include Amerimax, Berger Building Products, Flamco, Verde, Millennium Metals, Hancock Enterprises and Nu-Ray Metals.

The purchase price is 8.4 times OmniMax’s expected 2025 EBITDA, after factoring in $35 million in planned cost savings and about $100 million in tax benefits.

The acquisition is expected to strengthen Gibraltar’s core residential segment, which is anticipated to represent more than 80% of revenue and adjusted EBITDA upon completion of the transaction. Gibraltar expects immediate accretion in EBITDA margin and earnings per share (EPS) in the first full fiscal year.

Gibraltar secured committed financing from Bank of America, Wells Fargo, and KeyBanc Capital Markets, including up to $1.3 billion in term loans and an expanded $500 million credit line.

What Is The Retail Sentiment?

Retail sentiment on Stocktwits remained in the ‘neutral’ territory over the last 24 hours. The stock has been on a downtrend lately, declining in 11 of the previous 13 sessions.

The stock has a short interest of 2.2% according to Koyfin data.

ROCK shares have seen a marginal 0.6% decline year-to-date.

Read also: Arm Holdings Draws Investor Interest As Stock Continues To Hover Near 200-DMA After 4 Consecutive Sessions Of Decline

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