Breedon will acquire four quarries and an asphalt plant
Construction materials firm Breedon has struck a deal to acquire four quarries and an asphalt plant for 拢16.5m from CRH company Tarmac.
The agreement means that Tarmac will receive 拢4.9m in cash and 27 of Breedon鈥檚 ready-mixed concrete plants in return.
The operations being acquired by Breedon are quarries in Scotland, Cumbria and North Wales, together with a quarry and asphalt plant in West Wales.
The ready-mixed concrete plants to be divested by Breedon are in multiple locations extending from Dumfries in Scotland to Exeter in Devon.
Pat Ward, group chief executive at Breedon, said: 鈥淭his deal brings significant benefits: it adds to our reserve base; it is margin-enhancing; it releases value from peripheral ready-mix plants; and it will enable us to replace third-party aggregates providers with our own sources of supply.
The transaction is expected to close in the first half of 2018, subject to approval by the Competition & Markets Authority.
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