Installed Building Products completes $698 million acquisition of Old Dominion Group
Installed Building Products (IBP) closed the purchase of Old Dominion Group for an enterprise value of $698 million. The transaction was funded with roughly 60% cash and 40% IBP common stock. Old Dominion reported about $370 million of revenue and $68 million of adjusted EBITDA for the twelve months ended September 30, 2026. IBP projects $6 million‑$8 million of annual run‑rate cost synergies within two years and expects its commercial revenue share to rise to 28% of total revenue.
Why it matters
IBP says the deal will generate $6 million‑$8 million of annual cost synergies and lift commercial revenue to 28% of total, which should be immediately accretive to its margins. The acquisition also adds roughly $420 million of combined mechanical‑installation revenue, expanding IBP’s service footprint.
Key facts
- 1Enterprise value of the acquisition was $698 million, net of $27 million in transaction bonuses. investing.com
- 2Funding comprised approximately 60% cash and 40% IBP common stock. investing.com
- 3Old Dominion generated revenue of approximately $370 million for the twelve months ended September 30, 2026. investing.com
- 4Old Dominion generated adjusted EBITDA of approximately $68 million for the same period. investing.com
- 5IBP expects $6 million to $8 million of annualized run‑rate cost synergies within 24 months. investing.com
- 6The acquisition raises IBP’s commercial revenue contribution from about 20% to 28% of total revenue. investing.com
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.