US LBM Holdings LLC Agrees to Acquire Edward Hines Lumber Co. and Subsidiaries

February 16th, 2010 by Editor

Edward Hines Lumber Co. has announced the signing of a purchase agreement with US LBM Holdings LLC. The holding company is a portfolio company of Building Industry Partners (BIP) and BlackEagle Partners LLC. US LBM says it intends to acquire the operations of Edward Hines Lumber Co., which began operations in Chicago in 1892, as well as certain of its subsidiaries, including Hall & House, which serves the Indiana building community, upon the approval of an Assignment for Benefit of Creditors proceeding.

In order to allow Hines Lumber and Hall & House to continue operations during this process in the normal course of business, including paying employee wages and making payments to vendors and suppliers, and to complete the sale to US LBM, an affiliate of BlackEagle has agreed to provide financing to Hines Lumber and Hall & House.

“Being able to combine the resources of US LBM and Hines Lumber is a rare opportunity,” says Jason Runco of BlackEagle Partners. “Hines Lumber has a 118 year history of serving the needs of Chicago-area professional builders and remodelers. We are proud to be part of their continuing success.”

The addition of Hines Lumber and Hall & House to US LBM will expand its operations, growing it to 30 locations serving six states with approximately 850 associates. In addition to a strong presence already in Chicago, US LBM plans on expanding operations by opening the former Hines Lumber location in Mokena, Ill.

The approval of the transaction is scheduled on March 17. Until then, both Hines Lumber and Hall & House will continue operating in the normal course of business.

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