Irish building group CRH today said its U.S. materials division Oldcastle Materials Group has acquired SE Johnson for $217 million, including debt.
When anticipated asset sales of $40 million, the net cost of the transaction amounts to $177 million.
Headquartered in Toledo, Ohio, SE Johnson is a leading aggregates and asphalt producer with paving, heavy highway and bridge construction activities operating in the northern Ohio, south-eastern Michigan and north-eastern Indiana markets, the company said.
The company has $600 million tons of permitted (and predominantly owned) reserves and in the year ended December 31st, 2002, it produced 12.7 million tonnes of aggregates and 2.6 million tonnes of asphalt.
After depreciation of $10 million, SE Johnson reported 2002 EBIT of $18 million excluding non-recurring items on sales of $272 million.
Following acquisition, CRH said its materials division plans to reduce SE Johnson's large exposure to non-paving related highway and bridge construction and to dispose of certain non-core assets.
AFP