PORT ORCHARD, Wash.--(EON: Enhanced Online News)--Homewood Holdings LLC (“Homewood”), a portfolio company of the investment firm, Building Industry Partners LLC (“BIP”), has acquired Evergreen Lumber Inc. (“Evergreen” or the “Company”).
“I am thrilled to be expanding the reach of Homewood Holdings into the Seattle market. We plan to build upon the reputation Evergreen has established among its suppliers, customers, and employees, and help take Evergreen to the next level.”
Evergreen was founded in 1939 and is an independent, two-location lumber & building materials “pro dealer” that serves local, regional and national homebuilders and contractors, as well as do-it-yourself (“DIY”) customers, throughout the greater Seattle and Puget Sound markets. The business is headquartered in Port Orchard with a nearby door and trim facility. Evergreen employs 45 people and has a 77-year legacy of serving the Seattle and Puget Sound communities and building industry.
Evergreen joins the Homewood Holdings family of businesses as Homewood’s second acquisition. Homewood was formed in April 2016 by BIP and building industry veteran, Jim Stockman, to build a best-in-class, regional pro dealer organization in the Pacific Northwest. Evergreen’s addition creates a pro dealer platform with five locations in California and Washington, more than 150 total employees and approximately $70 million in combined sales.
The transaction addressed current owner and President, Jeff Swan’s, succession-planning needs for the business. Jeff retires post-transaction after 50 years with the business, but remains an advisor to Evergreen and retains a meaningful financial interest in the Company. Keith Elledge, who has worked for Evergreen for the past 22 years, will continue in his role as Vice President.
Zach Coopersmith, Managing Partner of BIP, said, “We are excited to bring Evergreen Lumber into the Homewood family. Evergreen fits Homewood’s acquisition strategy of investing in strong businesses in growing markets, in partnership with proven operators. We’re bullish on the Seattle market and are excited for Jim [Homewood CEO] and Keith to build upon a strong legacy business with over 75 years in operation.”
Jeff Swan, Evergreen outgoing President, commented, “This will be an exciting time in Evergreen’s history, capitalizing on what Jim and the BIP team can bring to our business. Evergreen will be stronger for their involvement. I believe BIP, Jim and Keith together have the vision to help ensure Evergreen delivers a best-in-class value proposition to our customers, remains a great place to work and can capitalize on further opportunities in the market.”
Jim Stockman, CEO of Homewood Holdings and President of Homewood Lumber, commented, “I am thrilled to be expanding the reach of Homewood Holdings into the Seattle market. We plan to build upon the reputation Evergreen has established among its suppliers, customers, and employees, and help take Evergreen to the next level.”
Homewood Holdings is actively seeking to partner with, and/or acquire, additional strong independent pro dealer organizations throughout the Pacific Northwest.
Background of Building Industry Partners
Building Industry Partners (“BIP” or the “Firm”) is the leading private growth equity investment firm focused in the U.S. middle-market building products industry. Founded by Matt Ogden in 2008, BIP has offices in Dallas, New York and Chicago (and soon to add an office in Boston) and is managed by its Managing Partners, Matt Ogden and Zach Coopersmith, and Partners Alex Hodgkin, Allan Breidenbach and Michael Arnaud. BIP invests its principals’ own capital, as well as that of a small number of like-minded family office and individual limited partners, including accomplished active and retired building industry entrepreneurs. Through its Operating Advisor circle, BIP maintains the financial sponsor industry’s leading proprietary network of active and retired building products industry operators, thought leaders and service providers that support the Firm’s industry-focused proprietary opportunity sourcing, due diligence and portfolio company management and value-add efforts.
BIP invests via an “Operator First” model, serving as an equity capital partner to support proven building products industry leaders in building niche-leading businesses. To this end, BIP provides equity capital to: (1) proven owner-operators of niche-focused building products manufacturers, distributors and specialty service companies seeking capital for growth, liquidity and/or partial ownership transition and (2) proven building industry operators and entrepreneurs seeking to build a business within their niche of expertise, primarily via acquisition of a platform company and execution of organic and/or “buy & build” growth strategies. The Firm focuses primarily on majority or minority ownership investments involving platform companies with $20 to $250 million in revenues as well as smaller companies with unique growth opportunities or as part of larger niche “buy & build” acquisition strategies.
BIP principals have co-founded and/or served as the equity capital sponsor for a number of the building products industry’s leading middle-market companies and operators:
- U.S. LBM Holdings, now the 3rd largest pro dealer organization in the U.S., in partnership with L.T. Gibson, BlackEagle Partners and team
- Kodiak Building Partners, in partnership with Paul Hylbert, Steve Swinney and team
- Rugby Architectural Building Products, in partnership with David Hughes, Drew Dickinson and team
- United Cabinet Holdings, in partnership with Butch Reimer, Michael Arnaud and team
- Building Industry Advisors, in partnership with Michael Collins and Walt Kurek
- Homewood Holdings, in partnership with Jim Stockman and team
- U.S. Fence Solutions Company, in partnership with Allan Breidenbach, Steve Stanley and team
BIP continues to seek opportunities to sponsor the building products industry’s greatest operating talents in achieving their entrepreneurial visions.