Building materials major CRH has reportedly announced to have acquired the Illinois-based concrete manholes and pipes manufacturer Concrete Specialties. Through the $46.6 million deal, CRH has continued its streak of bolt-on acquisitions even as it takes a break from major takeovers, cite sources.
The deal is in addition to the €150 million acquisition spending as mentioned in the company’s interim report published last month, a CRH spokesperson revealed.
Reportedly, 2017 was the second-biggest deal-making year for CRH as it purchased about €5 billion worth of assets. The company spent €8 billion in 2015 on acquisitions, cite sources.
The company has returned to its usual business of securing smaller bolt-on deals lately as it attempts to digest some of the major transactions executed last year. The company’s biggest deal till date includes the acquisition of Kansas-based Ash Grove in 2017. Reportedly, the fifth largest cement manufacturer of the U.S. was bought by CRH for $3.5 billion.
According to reliable sources, CRH has claimed in its interim report to have spent €265 million on 15 bolt-on purchases and investments across U.S. and Canada in the first half of this year. Additionally, the company spent €80 million on four acquisitions and one investment across Europe during the same timeframe.
The company reported earnings before interest, amortization, tax, depreciation of around €1.13 billion in the first six months, registering a growth rate of 1% over the comparative period in 2017.
Despite challenging conditions and currency headwinds in the Philippines market, CRH has predicted another year of progress due to continued momentum in Europe and America.
Recently, CRH announced the commencement of its second phase of the share buyback program, authorizing Swiss brokerage UBS to repurchase about €350 million of its stock. The company repurchased its own stock between late April and the end of June with the belief that it is trading below its real value.