Dream Finders Homes has entered into a definitive agreement to acquire Beazer Homes USA in an all-cash transaction with an enterprise value of approximately $2.2 billion. Beazer shareholders will receive $33.50 in cash for each share, representing an implied price-to-book multiple of approximately 0.8 times.
The combination is expected to create the sixth-largest homebuilder in the United States.
Beazer currently operates in 15 markets across 13 states, while the combined company is expected to operate in 26 markets and approximately 520 active communities across the Southeast, Mid-Atlantic, Texas, West and Midwest.
The transaction will broaden Dream Finders’ exposure across entry-level and move-up housing and expand its presence across several of the country’s largest and fastest-growing housing markets.
Dream Finders also expects the increased scale to generate purchasing efficiencies and support a more integrated homebuying experience through its mortgage and title businesses.
The companies expect more than $100 million in annual run-rate cost synergies from manufacturing efficiencies, purchasing improvements, lower overhead, elimination of duplicate public-company costs, increased mortgage and title insurance capture rates and lower insurance expenses.
Dream Finders expects the transaction to be double-digit percentage accretive to earnings per share during the first year.
Dream Finders plans to finance the acquisition through existing capital and committed financing from Goldman Sachs, Bank of America and affiliates of Kennedy Lewis Asset Management.
The company intends to maintain its 100% land-light strategy and expects to return to or improve its current leverage metrics within 18 to 24 months after closing.
The boards of both companies unanimously approved the transaction. Closing is expected during the fourth quarter of 2026, subject to Beazer shareholder approval, regulatory approvals and other customary conditions.
Dream Finders also reaffirmed its 2026 outlook of approximately 9,250 home closings, excluding any contributions from Beazer following completion of the transaction.
Beazer separately withdrew its previous financial outlook because of the pending deal.
Goldman Sachs, BofA Securities, Zelman Partners and Vestra Advisors are serving as financial advisors to Dream Finders, with Foley & Lardner acting as legal counsel.
J.P. Morgan Securities and Moelis are advising Beazer, while King & Spalding is serving as legal counsel.
KEY QUOTES:
“This combination is the next meaningful step in our journey to become a top 5 national homebuilder, expanding our geographic reach, broadening the range of buyers we can serve, and strengthening the integrated services we offer families from contract to close.”
Patrick Zalupski, Founder, CEO and Co-Chairman of Dream Finders Homes
“This transaction represents the culmination of a comprehensive review of opportunities to maximize value and provides Beazer shareholders with a significant and certain cash return in an uncertain market.”
Allan P. Merrill, Chairman, President and CEO of Beazer Homes
