Japanese contractor and materials company Sumitomo Forestry will buy 100% of the shares of Nevada-headquartered Tri Pointe Homes for $4bn.

The company claims it is now the fifth largest housebuilder in the US, capable of building 15,000 units a year across 18 states.

It now owns six US housebuilders and aims to build 23,000 houses a year by 2030.

In 2023, Sumitomo paid $215m for a controlling stake in US house builder JPI.

Tri Pointe Homes was founded in 2009 in California and has since built 58,000 homes.

Sumitomo Forestry’s final price of $47 per share has been increased since an initial offer was submitted in 2025, according to Nikkei Asia.

Mitsubishi UFJ Morgan Stanley acted as the financial advisor for the deal.

Toshiro Mitsuyoshi, Sumitomo Forestry’s president, said: “Today marks a meaningful new beginning with Tri Pointe Homes and an important milestone in advancing our group’s US single-family homes business into a new stage of growth.

“Together with Tri Pointe Homes and our existing five US homebuilders, we are well positioned to expand scale, enhance management efficiency and improve profitability.”

In 2024, Sumitomo Forestry bought a controlling stake in Metricon, Australia’s largest housebuilder, for US$79m.