Building Products

TM Capital has a long history advising Building Products companies in a variety of types of transactions including strategic sales, majority recapitalizations and growth capital raises. Our expertise in Building Products is wide ranging, spanning segments including Flooring, HVACR, Plumbing, Electrical, Backyard Products, Distribution and Interior Furnishings.

Please reach out to our Building Products investment banking team if you would like to confidentially discuss market dynamics or a potential transaction regarding your business.

What clients are saying

We hired TM Capital to work with us on the sale of Cali Brands - a disruptive, rapidly-growing, online-first/omni-channel provider of branded flooring products - based on our prior experience as a buyer with TM’s effective process management and the combination of their deep understanding of the flooring market and their proven success positioning direct-to-consumer businesses. Our experience with the entire TM team, from top to bottom, was exceptional, and they delivered on their promise of senior-led, white-glove attention from the beginning to the end of the process. We and the Cali team could not be more pleased with the outcome.

Ben Schnakenberg

Partner, High Road Capital Partners

I have had a relationship with TM Capital for 30 years and they continue to raise the bar in terms of professionalism and client care. TM Capital’s deep building products sector knowledge, transaction experience and relationships were critical factors in delivering an outstanding outcome for MPL. TM drove value by crafting a compelling investment thesis, highlighting MPL’s differentiated capabilities and pre-emptively addressing buyers’ concerns. We sincerely appreciate TM’s commitment and dedication to MPL, its shareholders and employees.

Glenn Scolnik

Chairman, MPL Company

Building Products Thought Leadership

2024 Building Products Report

Looking forward to 2025 and beyond, there is cautious optimism for the building products sector following a year of foundational growth in 2024. The Federal Reserve’s 50 basis point cut in mid-September, overlaid with market expectations for additional easing, has improved the outlook for construction spending in both residential and non-residential markets moving forward. Structural, long-term demand drivers persist in the residential market despite sluggish new home construction and renovation spending through YTD 2024. As of the end of 2023, the shortage of single-family housing was estimated at more than 7.2 million units, with estimates indicating that homebuilders will need to triple the pace of new residential construction to close the supply gap by 2030. In the nonresidential sector, public funding for the repair and improvement of the nation’s infrastructure, and the onshoring and re-shoring of critical manufacturing capabilities continues to drive sizeable investment. Although the commercial sector continues to face acute challenges, planning activity is accelerating – supporting a positive industry outlook for 2025 and beyond, with the warehouse, hotel, retail and data center sectors exhibiting particular strength. Despite mixed sector performance through mid-October, merger and acquisition activity has been a bright spot for the building products sector in 2024. Per data aggregated from CapitalIQ and Pitchbook, total transaction volume is up ~25% compared to the same period a year prior and is equal or above last year’s levels across all transaction types – strategic, financial sponsor-backed strategic and pure sponsor-driven transactions. Strategics and financial sponsor-backed strategics have accounted for most of the activity, with the two cohorts increasing deal volume by 28% in aggregate compared to the same period a year ago, while accounting for ~89% of deal volume through mid-October. Download our 2024 Building Products Report to read our views on the many factors influencing the building products market in the near-term, and why the longer-term outlook for the sector remains attractive.

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Please reach out to our Building Products investment banking team if you would like to discuss market dynamics or a potential transaction regarding your business.