PrimeSource Brands, a North American provider of specialty branded building products, has signed a definitive agreement to acquire Wolf Home Products, a provider of branded kitchen and bath, outdoor living and specialty exterior building products for residential applications, from affiliates of Tenex Capital Management. This transaction marks PrimeSource’s third acquisition under Clearlake Capital Group’s sponsorship.
Wolf is a designer and supplier of branded cabinetry, vanities, countertops, decking, and railing, among other residential building products
“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. Their leadership in Wolf-branded products, combined with a focus on the high growth markets in and around residential repair and remodel and outdoor living, fits very well with our strategy.”
“Our investment was driven by our thematic-based approach to investing in the building products industry and our experience in specialty distribution,” said José E. Feliciano, co-founder and managing partner, and Colin Leonard, partner, Clearlake. “PrimeSource benefits from significant market tailwinds as new residential construction ramps up to meet strong pent-up demand, and we believe the platform can play a unique role as a consolidator in this space. Along with the acquisitions of Dimora Brands and Nationwide Industries, Wolf further strengthens PrimeSource’s branded building products portfolio across interior and exterior residential applications. We are excited to expand our investment in PrimeSource, and we look forward to continuing to deploy our O.P.S. playbook to further enhance the Company’s growth through organic and acquisition initiatives.”
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.