Stock Building Supply gets new owner

STAFF WRITERMay 6, 2009 

Stock Building Supply, the beleaguered construction-materials giant, is filing for bankruptcy and being taken over by a Los Angeles private equity firm in a deal that saves Raleigh-based Stock from shutting down entirely.

An affiliate of The Gores Group acquired a 51 percent interest in Stock, which was being sold by British parent Wolseley PLC. Gores agreed to invest $75 million in the company and provide up to $125 million in loans.

The deal is contingent upon completion of a pre-packaged Chapter 11 bankruptcy process that is expected to last up to 60 days, the companies said Wednesday.

Wolseley said in March that if it couldn't sell Stock by August, it would close the company.

jack.hagel@newsobserver.com or 919-829-8917

News & Observer is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere in the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. Thank you for taking the time to offer your thoughts.

Commenting FAQs | Terms of Service