U.S. Concrete Inc., a Texas-based supplier of construction aggregates and ready-mixed concrete, is being acquired by an Alabama company in a deal valued at nearly $1.3 billion.
The buyer, Vulcan Materials Co., will pay $74 a share under an agreement announced Monday before the market open. The deal is expected to close later this year, following approval from regulators and U.S. Concrete shareholders.
Birmingham-based Vulcan said the acquisition brings large metropolitan areas such as Dallas-Fort Worth, San Francisco, New York, Philadelphia and Washington, D.C. into its already sizeable portfolio. U.S. Concrete shipped 12.6 million tons last year from its 27 aggregates in Texas, California and the Northeast.
Vulcan is a producer of asphalt, ready-mixed concrete, crushed stone, sand and gravel for the construction industry. Its revenue topped $4.85 billion last year.
It expects the deal to increase its pre-tax earnings by $190 million, the company said. That doesn’t include any expense reductions resulting from the combination.
U.S. Concrete brought in $1.365 billion in revenue last year and reported a profit of $25.5 million. It had 2,967 employees as of Dec. 31.
