Buildings materials company CRH has agreed a deal to buy Barrette Outdoor Living for $1.9 billion from TorQuest Partners and Caisse de dépôt et placement du Québec (CDPQ).
Barrette provides residential fencing and railing solutions and has 14 locations across North America that provide outdoor products sold through specialty retailers, homecentres and lumberyards.
Today's deal follows the $3.8 billion sale by CRH this year of its US-based glass product manufacturing unit.
It said the deal for Ohio-based Barrette represented an acquisition multiple of about 10 times core earnings, pre-synergies.
It also said the purchase of Barrette demonstrates the continued execution of its strategy to create shareholder value through active portfolio management and the efficient allocation and reallocation of capital.
For the year ended January 1 2022, Barrette reported profit before tax of $79m and gross assets of $1.2 billion.
Albert Manifold, CRH's chief executive, said that Barrette is an excellent addition for the company.
"Our Architectural Products business has been one of our fastest growing businesses in recent years and the acquisition of Barrette complements and enhances our existing offering of sustainable outdoor living solutions in North America," Mr Manifold said.
"It also demonstrates the continued execution of our integrated solutions strategy to create further value for our customers, our business and our shareholders," he added.
Today's deal will be financed through existing financial resources, CRH said.
Subject to regulatory approval it is expected to close in the second half of this year, it added.
CRH, the world's second-largest building materials supplier, has concentrated on smaller, bolt on acquisitions since it bought US-based Ash Grove Cement for $3.5 billion in 2018.
