KPS Capital’s $3.45 Billion Acquisition of Oldcastle BuildingEnvelope

Paul, Weiss, Rifkind, Wharton & Garrison advised KPS Capital Partners on the deal. Cahill represented debt financing sources in the financing for the acquisition.

KPS Capital Partners, LP announced its $3.45 billion all-cash acquisition of Oldcastle BuildingEnvelope (OBE) from CRH plc. The deal is expected to close in mid-2022, pending customary closing conditions and approvals.

Oscar AcquisitionCo, LLC and Oscar Finance Inc. executed an offering of $585,000,000 aggregate principal amount of 9.500% senior notes due 2030. Oscar AcquisitionCo, LLC also executed a $1,685,000,000 term B credit facility and a $340,000,000 revolving credit facility. Proceeds from the offering and the credit facilities were used to finance the acquisition of Oldcastle BuildingEnvelope, Inc. and other related operations and assets by KPS Capital Partners. 

Dallas-based OBE is North America’s largest provider of architectural hardware, glass and glazing systems. Headquartered in Dallas, Texas, OBE is a world-class building products company with significant presence in every major metropolitan statistical area in the United States and Canada.

KPS, through its affiliated management entities, is the manager of the KPS Special Situations Funds, a family of investment funds with approximately $13.1 billion of assets under management (as of December 31, 2021). For nearly three decades, the Partners of KPS have worked exclusively to realize significant capital appreciation by making controlling equity investments in manufacturing and industrial companies across a diverse array of industries, including basic materials, branded consumer, healthcare and luxury products, automotive parts, capital equipment and general manufacturing. 

BofA Securities and J.P. Morgan Securities LLC acted as financial advisors to CRH plc. Citi acted as financial advisor to KPS and its affiliates.

The Paul, Weiss team included corporate partners Angelo Bonvino (Picture), Cullen Sinclair, Suhan Shim, Monica Thurmond, Manuel Frey, Michael Vogel and Lindsey Wiersma and counsel Stephen Koo; intellectual property partner Charles Googe; tax partners David Mayo and Robert Killip; litigation partners Allan Arffa and Aidan Synnott, and counsel Steven Herzog and Peter Jaffe; real estate partner Peter Fisch; executive compensation partner Andrew Gaines and counsel Ron Aizen; environmental counsel William O’Brien; and antitrust counsel Yuni Sobel.

The Cahill team inlcuded Marc R. Lashbrook, Josiah M. Slotnick, Taegan M. Clarke, Emily Entwistle, Nazariy Gavrysh, Alex J. Kramer, Biagio A. Marino, Alexandra L. McIntire, Marc Shepsman and Jehan Slavin.

Involved fees earner: Ron Aizen – Paul Weiss Rifkind Wharton & Garrison; Allan Arffa – Paul Weiss Rifkind Wharton & Garrison; Angelo Bonvino – Paul Weiss Rifkind Wharton & Garrison; Peter Fisch – Paul Weiss Rifkind Wharton & Garrison; Manuel Frey – Paul Weiss Rifkind Wharton & Garrison; Andrew Gaines – Paul Weiss Rifkind Wharton & Garrison; Charles Googe – Paul Weiss Rifkind Wharton & Garrison; Steven Herzog – Paul Weiss Rifkind Wharton & Garrison; Peter Jaffe – Paul Weiss Rifkind Wharton & Garrison; Robert Killip – Paul Weiss Rifkind Wharton & Garrison; Stephen Koo – Paul Weiss Rifkind Wharton & Garrison; David Mayo – Paul Weiss Rifkind Wharton & Garrison; William O’Brien – Paul Weiss Rifkind Wharton & Garrison; Suhan Shim – Paul Weiss Rifkind Wharton & Garrison; Cullen Sinclair – Paul Weiss Rifkind Wharton & Garrison; Yuni Sobel – Paul Weiss Rifkind Wharton & Garrison; Aidan Synnott – Paul Weiss Rifkind Wharton & Garrison; Monica Thurmond – Paul Weiss Rifkind Wharton & Garrison; Michael Vogel – Paul Weiss Rifkind Wharton & Garrison; Lindsey Wiersma – Paul Weiss Rifkind Wharton & Garrison;

Law Firms: Paul Weiss Rifkind Wharton & Garrison;

Clients: KPS Capital Partners, LP;