Shareholders approve US house building merger
24 August 2009
Shareholders of Pulte Homes and Centex have approved the merger of their companies, paving the way for the creation of the United State's largest home builder ahead of D.R. Horton. The stock deal is valued at US$ 1.6 billion.
Pulte Group has named Richard Dougas Junior, the former president and CEO of Pulte Homes, as chairman, taking over from William Pulte who will continue to serve as a director.
Pulte received 80% of shareholder votes in support of the deal, while 72% of Centex shareholders were in favour. Pulte shareholders will own approximately 68% of the combined company, which will continue to trade on the New York stock exchange under the PHM identification.
The Centex name and that of its sister brand Fox & Jacobs will function as Pulte Group's entry-level brands according to Mr Dougas.