PulteGroup, Inc. announced today that it has entered into an agreement to acquire certain homebuilding assets of John Wieland Homes and Neighborhoods, one of the country's premier builders of move-up and luxury homes, from affiliates of Wheelock Street Capital, L.L.C. and the Wieland family.  As part of the transaction, PulteGroup expects to acquire approximately 7,400 controlled lots and 280 homes in backlog. 

Pending completion of standard due diligence and customary closing conditions, the purchase is expected to close no later than the first quarter of 2016.  The Company plans to use available cash to fund the purchase price of approximately $430 million to $450 million, subject to any final post-closing adjustments.  The Company expects this transaction will be immediately accretive to earnings and cash flows. 

Headquartered in Atlanta, Wieland ranks among the country's 100 largest homebuilders and is a leading builder of luxury homes in Atlanta, Charleston, Charlotte, Nashville and Raleigh.  In the 12 months ended September 2015, Wieland delivered approximately 565 homes at an average selling price of $495,000 and generated $280 million in revenue.   

"Population growth and housing demand in the Southeast are expected to remain strong for years to come, so this acquisition of the John Wieland Homes and Neighborhoods brand and its robust land pipeline provides a great opportunity to increase our market share and operating leverage in five important cities, while expanding our presence in the luxury segment," said Richard J. Dugas, Jr., Chairman, President and Chief Executive Officer of PulteGroup.

"We have tremendous respect for the experienced team within the Wieland organization, the quality of the homes they deliver and the strength of the Wieland brand," added Dugas. "Upon completion of the transaction, we will move quickly to capture operational efficiencies while working to grow annual production volumes."

"Having worked for Pulte earlier in my career, I have a strong appreciation for the proud history, reputation for quality and dedicated professionals in each organization," said Gregory Huff, Chief Executive Officer of John Wieland Homes. "We look forward to joining a national homebuilder where we share the same beliefs with regard to delivering superior product quality and outstanding service to our customers."