Builders FirstSource (BFS), a supplier of building products, prefabricated components, and value-added services, has acquired Innovative Construction Group (ICG) from PulteGroup.
Founded in 2009 by Ryan Melin and Andy Melin, ICG is an off-site solutions provider of single- and multifamily wood framed construction. The company has plants in Green Cove Springs, Florida, and Florence, South Carolina, and installs every component they manufacture.
“The addition of ICG to BFS strengthens our presence in the Southeast with turnkey framing solutions, including structural design, trusses, wall panels, floor systems, delivery, installation, and field supervision,” said Peter Jackson, president and CEO of Builders FirstSource.
For Builders FirstSource, the acquisition follows after its acquisition of Pleasant Valley Homes in Pine Grove, Pennsylvania, in February, marking its expansion into the modular housing category. The Pleasant Valley Homes acquisition represented an expansion of its prefabricated component strategy.
PulteGroup announced its plans to divest from ICG during its fourth quarter earnings call in January. The home builder initially acquired ICG in January 2020 to expand its services to off-site enclosures for other single- and multifamily builders.
“ICG has proven to be a strong operator that can continuously deliver high-quality house shell components that have delivered many benefits to our home building platform,” PulteGroup president and CEO Ryan Marshall said during the company’s earnings call, explaining the decision to divest. “We have determined that our business and, in turn, our shareholders are best served by us focusing on our core home building operations. After the sale, we will be able to benefit from any innovation in off-site manufacturing achieved by the building components supplier—many of which are making significant investments in technology and innovation—while we focus on our core competencies.”
Builders FirstSource has amassed a footprint of more than 580 distribution and manufacturing locations across 43 states. The company can service 93 of the top 100 core-based statistical areas through its store footprint.
