11:40 AM EDT, 07/08/2025 (MT Newswires) -- TopBuild ( BLD ) said Tuesday that it agreed to acquire Progressive Roofing in an $810-million cash deal that will expand the insulation products distributor's portfolio to include commercial roofing services.

The transaction, which requires regulatory approvals, is expected to complete early in the third quarter of this year, TopBuild ( BLD ) said in a statement.

"Entering the large and growing Commercial Roofing business through the acquisition of Progressive Roofing is a natural next step for TopBuild ( BLD )," Chief Executive Robert Buck said. "In addition to increasing our revenue exposure to non-discretionary demand drivers, we anticipate that this acquisition will serve as a significant growth platform, both organically as well as through future M&A."

Commercial roofing installation represents a total addressable market of about $75 billion, Buck said in prepared remarks published on the company's website.

Shares of TopBuild ( BLD ) were up 4% in Tuesday's trade. The stock's value has increased 14% this year.

The deal values Progressive at 9.1 times its earnings before interest, taxes, depreciation and amortization for the trailing 12-month period ended March 31. TopBuild ( BLD ) expects the transaction to be immediately accretive to its adjusted earnings per share.

Progressive generated $438 million in revenue and $89 million in EBITDA in the 12 months through March, according to TopBuild ( BLD ).

Demand for re-roofing remains strong due to an aging installed base of commercial buildings and weather events occurring more frequently, TopBuild ( BLD ) Chief Financial Officer Rob Kuhns said in prepared remarks.

"We believe that joining TopBuild ( BLD ) will enable accelerated growth and allow us to create even more value for our customers," Progressive Roofing CEO Nick Hadden said.

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