Heidelberg Materials announced that it has entered into a definitive purchase agreement to acquire Highway Materials, Inc., one of the largest independent aggregates and asphalt producers in the Greater Philadelphia market.
Included with this acquisition are four crushed stone quarries, nine hot-mix asphalt plants, two clean fill operations, a concrete recycling facility, a construction services business, and more than 350 employees.
Earlier this month, Heidelberg Materials successfully acquired two companies in Texas: Victory Rock, a producer of high-quality aggregates for concrete and asphalt as well as other related products with two well-positioned quarries, and Aaron Materials, an established concrete recycler and materials producer whose operations include concrete crushing, stabilised materials, and a volumetric concrete business.
With these three acquisitions, Heidelberg Materials follows the ambition to acquire smaller- to medium-sized bolt-on assets to enhance the existing footprint in core growth markets. This also allows for considerable synergies from joint management and shared resources going forward. The total purchase price for the transactions is approximately $380 million with a combined expected post synergies EBITDA of around $50 million.
Heidelberg Materials is strongly committed to achieving net zero and increasing the circular economy in North America. Just recently, the company announced the successful conversion of its cement plant in Speed, Indiana, to a slag grinding facility to better support the increased demand for sustainable products in the Midwest market
