Report
David Whiston, CFA, CPA, CFE
EUR 147.86 For Business Accounts Only

USG Sells L&W Supply for $670 Million; Proceeds Used to Deleverage the Balance Sheet

Narrow-moat USG announced that the company entered into a definitive agreement to sell its L&W Supply business for $670 million, or approximately 12.9 times the segment’s trailing 12-month EBITDA. The L&W Supply segment is a leading distributor of gypsum wallboard and other building materials in the United States with sales of $1.4 billion in 2015. ABC Supply, a privately held wholesale distributor of roofing, siding, window, and other building products, is the acquirer. USG will use the...
Underlying
USG Corporation

USG is a manufacturer of building materials and solutions. The company's segments are: Gypsum, which manufactures and markets gypsum and related products primary used in a variety of building applications; Performance Materials, which manufactures and markets products used in a variety of interior and exterior building applications of residential, nonresidential buildings and industrial; Ceilings, which manufactures and markets ceiling interior systems products including ceiling tile, ceiling grid, and specialty ceilings; and USG Boral Building Products, which manufactures and distributes products for wall, ceiling, floor lining and exterior systems that utilize gypsum wallboard.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
David Whiston, CFA, CPA, CFE

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