Its BP division comprises three insulated panel manufacturing plants in addition to a number of profiling facilities across Canada and the US.The consideration for the BP business is around C$154.5m inclusive of debt and reorganisation costs, payable in cash on completion. The acquisition will be structured as the purchase by Kingspan of the entire issued and outstanding share capital of Vicwest, by way of a court approved plan of arrangement.

This will involve the simultaneous transfer of the Westeel business and assets to Ag Growth International (“AGI”). The total estimated consideration payable under the arrangement is C$376.0m, of which Kingspan will fund around C$154.5m and AGI will fund C$221.5m. The acquisition of the BP business will be funded from Kingspan’s existing credit facilities.

Gene Murtagh, Kingspan’s chief executive officer, commented: “The acquisition of Vicwest Building Products boosts Kingspan’s ability to drive conversion of the North American construction market to more energy-efficient insulated panels, coming at a time when the energy agenda in North America is becoming increasingly persuasive.”