Building materials supplier Boral Ltd (ASX:BLD) has penned a deal to acquire Owens Corning Masonry Products LLC (Cultured Stone) from Owens Corning, a stone veneer company in North America.

Boral said the deal will allow the company to expand in the US ahead of an expected improvement in the building sector.

Under the terms of the agreement, the acquisition of Cultured Stone will occur in two stages. Boral will pay $US45 million for the first 50 per cent on the company, and a minimum of $US45 million for the remaining 50 per cent.

The first stage of the acquisition is expected to be completed by the end of December 2010. The second stage of the acquisition will be completed in early 2014. Until then, Cultured Stone will be managed by Boral and will be renamed Boral Stone Products, LLC.

Boral shares traded 1.88 per cent higher at $4.87 against a 0.7 per cent lift in the benchmark index at 1050 AEDT.