WATSONVILLE, Calif.--(BUSINESS WIRE)--Granite (NYSE: GVA) today announced that it has completed two acquisitions that strengthen its vertically-integrated home markets for a combined purchase price of $710 million, subject to customary closing adjustments. Together, the acquisitions are expected to contribute approximately $425 million in revenue annually with an expected adjusted EBITDA margin of approximately 18%. This implies a blended multiple of approximately 9.2x expected adjusted EBITDA.
Related Questions
What financing structure was used for the acquisitions (cash, debt, equity) and what are the terms?
What is the expected impact on EPS – dilution or accretion?
How does this valuation compare to recent similar transactions in the home markets sector?
What are the expected synergies and cost savings that justify the 9.2 x EBITDA multiple?
How will the acquisitions affect Granite’s competitive position and market share in the home markets?
What are the key integration risks and how are they being mitigated?
How will the $710 million acquisition cost affect Granite’s cash balance and leverage ratios?
How realistic is the projected $425 million annual revenue and 18% adjusted EBITDA margin?
How will the acquisitions impact Granite’s guidance for FY2025 and FY2026?
How might the market react to the announcement – expected short‑term price movement?
When will the acquisitions be fully integrated and start contributing to earnings?
What are the potential regulatory or antitrust considerations for the vertical integration?