ProBuild

Operation

ProBuild was acquired by Builders FirstSource in 2015 resulting in an entity with $6.1 billion combined 2014 revenue.

History

In 1997, Fidelity Capital, the business development arm of Fidelity Investments, acquired the Strober Organization, a supplier of building materials to professional builders and contractors in the Northeast. Over the next nine years, Strober acquired additional regional brands, extending its reach to the mid-Atlantic and Southeast markets.

By 2005, Strober had become one of the largest professional building materials dealers in the United States. In 2008, Fidelity Capital purchased Lanoga Corporation, which was, at the time, the nation's third-largest professional building materials dealer. Fidelity made the purchase through ProBuild Holdings, Inc., a newly created entity that included the Strober Organization. The Strober Organization was the sixth-largest professional building materials dealer in the U.S. at the time. With the purchase of Lanoga, ProBuild's 2006 resources comprised over 420 locations in 38 states with more than 14,000 employees.

As Lanoga had purchased Spenard Builders Supply (SBS) and other builder's store in Fairbanks and Anchorage in 1978, the company's reach extended to Alaska. SPS was founded in 1952 and as of 2022, has 10 retail locations throughout Alaska and four manufacturing locations where it makes roof trusses and other milled lumber products. It continues to operate under the Spendard name.

The subsequent acquisitions of Hope Lumber and Supply and other lumber suppliers made ProBuild the largest professional building materials dealer in the United States by 2007 with more than 506 locations nationwide.

Following the downturn of the housing market in the United States in 2008, ProBuild consolidated a number of facilities and exited several markets, including Chicago and Pittsburgh. As was the case with much of the home building industry, sales fell during the downturn. ProBuild reported just over $3 billion in sales in 2009, down from at 2006 peak of $6 billion. By 2013, the company reported a nine percent increase in sales from the prior year.

On July 31, 2015, Builders FirstSource acquired ProBuild Holdings LLC, creating a more diversified company with enhanced scale and improved geographic footprint. The combined company, on a pro forma basis, generated over $6 billion in annual revenue in 2015 and currently operates approximately 400 locations in 40 states, with a market presence in 74 of the top 100 Metropolitan Statistical Areas in the United States.

References

References

1. "2013 PROSALES 100".
2. "PROSALES 100 Company Rankings 1991 - 2013".
3. link. (2009-02-11)
4. Pro-Build Holdings Inc. company overview [http://www.hoovers.com/pro-build/--ID__157442--/free-co-factsheet.xhtml hoovers.com] {{Webarchive. link. (2008-10-25)
5. "Builders FirstSource Completes Acquisition of ProBuild".
6. [http://www.probuild.com/Menu/Who+is+ProBuild/Our+History ProBuild Company History] {{Webarchive. link. (2013-08-05 ,)
7. "Answers.com profile of the Strober Organization".
8. "2006 PROSALES 100 Company Rankings ProBuild Newsroom press release announcing acquisition of Lanoga Corporation".
9. "Building & Construction - Materials & Supply | ProBuild".
10. "2006 PROSALES 100 Company Rankings".
11. "ProBuild Press Room - Press release announcing finalized purchase of Lanoga Corporation".
12. "Our Story - Spenard Builders Supply".
13. [https://www.dnb.com/business-directory/company-profiles.spenard_builders_supply_llc.daa0f8cdcb1d32500083510c3eb7c644.html Company profile] {{Webarchive. link. (2022-04-21)
14. "ProBuild Press Room - Press release announcing purchase of Hope Lumber and Supply".
15. "2007 PROSALES 100 Company Rankings".
16. "ProBuild Reveals Plans to Shut 12 Facilities - ProSales Magazine".
17. "ProBuild ID's Most of the 20 Yards It Will Close | ProSales Online".
18. "ProBuild to Exit Chicago Market - Home Channel News".
19. "ProBuild Withdrawing from Some Eastern Markets - Home Channel News".
20. "ProBuild CEO: Our Sales Will Fall to $3B This Year | ProSales Online".
21. "Builders FirstSource | Building Supplies & Materials".