Smith Douglas Homes Corp. acquired Substantially All of the Assets of Devon Street Homes, L.P. for $83.9 million.
Smith Douglas Homes Corp. (NYSE:SDHC) completed the acquisition of Substantially All of the Assets of Devon Street Homes, L.P. for $83.9 million on July 31, 2023. Cal Smith of King & Spalding LLP acted as legal advisor to Smith Douglas Homes. Smith Douglas Homes funded the purchase price of $83.9 million, primarily from cash on hand, $72.0 million of draws on our Prior Credit Facility, a three-year promissory note in the principal amount of $5.0 million payable to the seller, and approximately $3.0 million contingent consideration to the seller. The contingent consideration will be paid to the seller upon the achievement of certain gross margin targets.