Ontario-based Mattamy Homes Ltd. has agreed to acquire Monarch Corporation from U.S. homebuilder Taylor Morrison Home Corp.
Under the agreement, Mattamy Homes will pay an estimated about C$330 million.
The deal is expected to formally close in the first quarter of 2015, subject to customary closing conditions, including approval by the Canadian Competition Bureau.
“The addition of the business to Mattamy Homes aligns well with our growth strategy, and we look forward to working with the talented Monarch team as we enhance our already significant footprint in Ontario and enter into the high-rise market,” states Peter Gilgan, founder and CEO of Mattamy.
Following closing of the transaction, both companies will spend the following months evaluating how and to what extent the two organizations will be integrated. Their plan is to have made the necessary operational decisions by the beginning of Mattamy’s 2016 fiscal year, which starts June 1, 2015.
Torys LLP served as legal advisors for Mattamy in connection with the transaction.