Holcim to Acquire Firestone Building Products from Bridgestone America

January 7, 2021

Key Points:

Acquiring industry leader in commercial roofing and building envelope solutions to position it for continued growth
A milestone in the transformation of Holcim to become the global leader in innovative and sustainable building materials and solutions
Strengthening Holcim’s biggest market, the US, with annual sales to exceed USD 6bn
Plans to expand in Europe and Latin America to become the global leader in flat roofing systems
Sale to enable Bridgestone to strengthen investments in company’s tire business and fast-growing mobility solutions business

Holcim has signed an agreement to acquire Firestone Building Products (FSBP), a leader in commercial roofing and building envelope solutions based in the United States (US), with 2020 (est.) net sales of USD 1.8 billion and EBITDA of USD 270 million. This acquisition is a milestone in Holcim’s transformation to become the global leader in innovative and sustainable building solutions.

This transaction is valued at USD 3.4 billion, to be financed with cash and debt while maintaining net debt below 2x. Synergies of USD 110 million per year are expected on a run-rate basis within two years of closing, which is expected in the second quarter. The acquisition is earnings per share (EPS) accretive from the first year.

Jan Jenisch, Holcim CEO: “I am excited to be entering the highly attractive roofing business. With Firestone Building Products we are strengthening our biggest market, the US, while also building a global growth and innovation platform for the company. Today’s milestone is a strategic leap on our journey to become the global leader in innovative and sustainable building solutions, to build a world that works for people and the planet. I have great respect for the high-caliber leadership and expertise of the Firestone Building Products’ team and look forward to welcoming them into the Holcim family.”

Paolo Ferrari, Bridgestone Americas President, CEO & COO: “This transaction will create new growth opportunities for Firestone Building Products and allow Bridgestone to focus its resources to further invest in the company’s tire business and rapidly growing mobility solutions business. Like Bridgestone, Holcim is a global company with a strong financial position and thriving culture.

About Holcim

Holcim is the leading global building materials and solutions company. It has four businesses: cement, aggregates and ready-mix concrete as well as advanced solutions and products that include precast concrete, asphalt and mortar. With its broad portfolio Holcim solves the toughest challenges facing masons, builders, architects and engineers, bringing industry-leading innovations and services to customers challenged by urbanization, population growth and the demand for sustainability. Headquartered in Switzerland and with leading positions in all regions, Holcim employs approximately 80,000 employees in around 80 countries and has a portfolio that is equally balanced between developing and mature markets.

In the United States, Holcim companies include close to 350 sites in 43 states and employ 7,000 people. Our customers rely on us to help them design and build better communities with innovative solutions that deliver structural integrity and eco-efficiency.

About Bridgestone Americas

Nashville, Tennessee-based Bridgestone Americas, Inc. is a subsidiary of Bridgestone Corporation, a global leader providing sustainable mobility and advanced solutions. Bridgestone Americas develops, manufactures and markets a diverse portfolio of original equipment and replacement tires, tire-centric solutions, mobility solutions, and other rubber-associated and diversified products that deliver social value and customer value. Guided by its global corporate social responsibility commitment, Our Way to Serve, Bridgestone is dedicated to shaping a sustainable future of mobility and improving the way people move, live, work and play.

About Firestone Building Products

Firestone Building Products Company, LLC is a leading manufacturer and supplier of trusted roofing and building envelope solutions. By taking the entire building envelope into consideration, Firestone Building Products meets individual customer and project needs for roofing, wall and lining solutions. Headquartered in Nashville, Tennessee, the company also offers outstanding technical services, an international network of roofing contractors, distributors and field sales representatives, and exceptional warranty protection. Products include commercial roofing systems, roofing accessories, green roofing systems and daylighting systems, vegetative roofing systems, metal wall panels, insulation, cavity wall construction, pond liners, geomembranes and silicone and acrylic liquid coatings. Firestone Building Products Company, LLC is a subsidiary of Bridgestone Americas, Inc.

Important disclaimer – forward-looking statements:

This document contains forward-looking statements. Such forward-looking statements do not constitute forecasts regarding results or any other performance indicator, but rather trends or targets, as the case may be, including with respect to plans, initiatives, events, products, solutions and services, their development and potential. Although Holcim believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions as at the time of publishing this document, investors are cautioned that these statements are not guarantees of future performance. Actual results may differ materially from the forward-looking statements as a result of a number of risks and uncertainties, many of which are difficult to predict and generally beyond the control of Holcim, including but not limited to the risks described in the Holcim's annual report available on its website (www.holcim.us) and uncertainties related to the market conditions and the implementation of our plans. Accordingly, we caution you against relying on forward-looking statements. Holcim does not undertake to provide updates of these forward-looking statements.

This document contains inside information within the meaning of the Market Abuse Regulation (EU) (No 596/2014).

Contact

Jocelyn Gerst
Holcim US
Jocelyn.Gerst@Holcim.com