Houlihan Lokey Advises Arcadia

Houlihan Lokey is pleased to announce the successful sale of a 60% controlling interest in Arcadia, Inc., to DMC Global Inc. (NASDAQ:BOOM) (DMC). The transaction closed on December 23, 2021.

Arcadia is a leading U.S. supplier of architectural building products, which include exterior and interior framing systems, highly engineered windows, curtain walls, and interior partitions. Arcadia’s commercial architectural products division primarily serves a diverse customer base across the attractive low- and mid-rise commercial buildings market through its differentiated business model focused on providing a broad selection of architectural framing solutions, short lead times, reliable product availability, and exceptional service. Arcadia has established a leading position in the western and southwestern United States across a diverse range of end markets. Arcadia’s commercial interiors division provides a national customer base with custom interior architectural framing systems, which are used to address noise control, fire rating, functionality, and aesthetics. Arcadia’s residential division provides premium, energy-efficient steel, aluminum, and wood windows and doors to the fast-growing, high-end home market.

DMC operates a portfolio of innovative, asset-light businesses that provide differentiated products and services to their respective industries. DMC’s strategy is to identify well-run businesses with strong management teams and support them with long-term capital and strategic, financial, legal, technology, and operating resources. DMC helps portfolio companies grow their core businesses, launch new initiatives, upgrade technologies and systems to support their long-term growth strategies, and make acquisitions that improve their competitive positions and expand their markets. DMC’s current portfolio consists of DynaEnergetics, which serves the global energy industry, and NobelClad, which addresses the global industrial process and transportation sector. Based in Broomfield, Colorado, DMC trades on Nasdaq under the symbol “BOOM.”

Houlihan Lokey served as the exclusive sellside financial advisor to Arcadia and assisted in initiating, structuring, and negotiating the transaction on its behalf. In addition, Houlihan Lokey’s Transaction Advisory Services practice assisted with seller preparedness and issued a Quality of Earnings report on Arcadia. The transaction exemplifies the continued success of Houlihan Lokey’s leading practice within the building products sector.