New York-based private equity firm Clayton, Dubilier & Rice says it will acquire Cornerstone Building Brands, Inc. (NYSE: CNR), the largest manufacturer of exterior building products in North America, for $5.8 billion.

The deal is an all-cash transaction, CD&R said. The approximate $5.8 billion enterprise value includes the assumption of debt.
CD&R is currently the beneficial owner of approximately 49% of Cornerstone’s outstanding shares of common stock. The proposed deal delivers “substantial value to Cornerstone Building Brands’ shareholders,” who will receive $24.65 in cash per share, representing an approximately 16% premium to the closing price of the company’s common stock as of March 4, and an approximately 75% premium to the closing price of the company’s common stock as of February 4, 2022, the last trading day prior to speculation in the market regarding a potential transaction, CD&R said.

The acquisition has been approved by a special committee of independent directors of Cornerstone’s board of directors previously formed to “evaluate and consider any potential or actual proposal from CD&R,” the firm said.