RPM Strengthens Building Envelope Platform With Kalzip Acquisition

RPM International Inc. RPM continues to sharpen its strategic focus on higher-value, system-based construction solutions with the planned acquisition of Kalzip GmbH by its Tremco Construction Products Group (“Tremco CPG”). The transaction is expected to close in the fourth quarter of fiscal 2026, subject to customary closing conditions.

The acquisition strengthens Tremco CPG’s building envelope portfolio by adding Kalzip’s expertise in architecturally innovative, premium metal roof and façade solutions. Overall, the transaction is expected to expand Tremco CPG’s technical capabilities, broaden its product offerings and extend its market reach within the global building envelope and construction solutions market.

Following the news, shares of RPM gained 0.2% during after-hours yesterday.

Enhancing RPM’s Construction Products Portfolio

Construction Products Group, which includes Tremco Construction Products Group as a core operating platform, is RPM’s largest segment and contributed 37.5% of fiscal 2025 net sales. The segment continues to demonstrate strong momentum, with first-quarter fiscal 2026 sales increasing 6.3% year over year to $809.9 million, driven primarily by robust organic growth of 5.4% and incremental support from acquisitions.

The acquisition of Kalzip further enhances Tremco CPG’s building envelope platform by adding a premium, high-specification aluminum roofing and façade business. With approximately €75 million in annual sales and a strong presence in Europe and India, Kalzip expands Tremco’s addressable market and international footprint, particularly in complex, high-value construction projects. The transaction aligns closely with RPM’s focus on system-based solutions, high-performance construction markets and disciplined portfolio expansion, supporting sustainable long-term growth.

Strategic Acquisitions Strengthen Growth Outlook

RPM continues to pursue a disciplined and increasingly active inorganic growth strategy focused on strengthening core platforms and expanding into attractive adjacent markets. This approach has enabled the company to enter fiscal 2026 with a strong balance sheet, even after completing the largest year of acquisitions in its history during fiscal 2025.

During fiscal 2025, RPM completed six strategic acquisitions focused on platform enhancement and long-term value creation. Notably, the April 30, 2025 acquisition of Clean Topco Limited — the parent of the Star Brands Group and its flagship brand, The Pink Stuff — strengthened the Consumer Group by adding a fast-growing, globally recognized household cleaning brand. Following the end of fiscal 2025, RPM also acquired READY SEAL, Inc., expanding its wood care and coatings portfolio and reinforcing its strategy to grow through high-margin, branded products in core and adjacent markets.

RPM’s Stock Performance

Shares of RPM International have gained 2.3% in the past month compared with the Zacks Chemical - Specialty industry’s 7.6% growth. Performance continues to be supported by strong demand for turnkey solutions and repair-and-maintenance services, along with solid execution of its MAP 2025 initiatives. However, ongoing softness in the housing market and weaker DIY demand remain notable headwinds to near-term prospects.

RPM’s Zacks Rank & Key Picks

Currently, RPM International carries a Zacks Rank #4 (Sell).

Some top-ranked stocks from the Basic Materials sector are:

Agnico Eagle Mines AEM presently sports a Zacks Rank #1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of 11.6%, on average. Agnico stock has surged 54.7% in the past six months. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Agnico’s 2026 sales and EPS indicates growth of 11.3% and 22.5%, respectively, from the year-ago period’s levels.

BUNGE GLOBAL SA BG currently flaunts a Zacks Rank of 1. The company delivered a trailing four-quarter earnings surprise of 11.8%, on average. BUNGE stock has gained 22.4% in the past six months.

The Zacks Consensus Estimate for BUNGE’s 2026 sales and EPS implies an increase of 38.4% and 18.3%, respectively, from a year ago.

Coeur Mining CDE sports a Zacks Rank of 1 at present. The company delivered a trailing four-quarter earnings surprise of 106.6%, on average. Coeur Mining stock has soared 114.8% in the past six months.

The Zacks Consensus Estimate for Coeur Mining’s 2026 sales and EPS indicates growth of 30.2% and 111.6%, respectively, from the prior-year levels.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research