Private equity firms American Securities LLC and CD&R have agreed to sell Foundation Building Materials (FBM) to Lowe’s Companies, Inc. for $8.8 billion.
FBM is a leading North American distributor of interior building products such as drywall, insulation and metal framing. It serves both residential and commercial professionals in new construction and remodeling. The company has a network of over 370 locations in the United States and Canada and serves 40,000 professional customers.
Under the ownership of American Securities and CD&R since 2011, FBM has experienced significant growth, with a 27% annual revenue growth and 31% annual EBITDA growth. This expansion was fueled by both organic growth and strategic acquisitions, including the purchases of Beacon Roofing Supply’s interior products business and Marjam Supply Company. FBM also launched a new e-commerce platform and digital application to improve customer service.
FBM CEO Ruben Mendoza expressed excitement about joining Lowe’s and praised the support from American Securities and CD&R, which helped the company accelerate growth and expand capabilities. Representatives from both private equity firms highlighted their successful partnership with FBM’s management team, which led to impressive financial results and strategic expansion through acquisitions and digital initiatives. The transaction is expected to close in the fourth quarter of 2025.