Home builders Standard Pacific Corp. and Ryland Group Inc. have agreed to merge in an all-stock transaction, The New York Times Reports.
The combined company will have operations in 17 states. Together, the two California-based builders pulled in approximately $5 billion in revenue and closed 12,633 home last year, making the new company the fourth-biggest builder after D.R. Horton, Lennar, and PulteGroup.
After the merger, the single company will cater to a broader range of buyers. Standard Pacific sells primarily to move-up buyers, while Ryland Group's homes range from entry-level to high-end.