The stockholders of Beazer Homes have overwhelmingly voted to approve the proposed acquisition of the home builder by Dream Finders Homes.
According to a release from Dream Finders, the approval represents “a significant milestone” and one of the final requirements prior to the finalization of the acquisition. The parties to the transaction have already received early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and Dream Finders Homes expects to consummate the transaction on Oct. 20.
The $2.2 billion merger agreement was initially announced Aug. 7 after a monthslong public back and forth between the two companies. Dream Finders first privately approached Beazer Homes in February and had several proposals rejected in the spring and early summer. Beazer Homes expressed a willingness to enter discussions with Dream Finders in July and the deal was announced less than a month later.
Upon completion of the transaction, the combined Dream Finders-Beazer Homes operation will become the sixth largest company on the Builder 100 list with approximately 13,000 annual closings. With Beazer Homes, Dream Finders is gaining access to new markets in Indianapolis; Las Vegas; Sacramento and southern California; and Delaware while expanding its presence in Atlanta; Phoenix; Virginia-Maryland-Washington, D.C.; Texas; Nashville, Tennessee; North and South Carolina; and Orlando.
Dream Finders Homes has a top-10 market share in 10 of the nation’s 50 largest new-home markets, while Beazer has a top-10 share in three markets, according to Zonda’s Local Leaders list.
The companies expect to deliver a double-digit percentage accretive to earning per share in year one through strong revenue growth and rapid synergy realization. At the time of the deal, Dream Finders Homes said it expects to continue executing its growth plans post-closing while maintaining its 100% land-light commitment.
