Rock Products

NOV 2017

Rock Products is the aggregates industry's leading source for market analysis and technology solutions, delivering critical content focusing on aggregates-processing equipment; operational efficiencies; management best practices; comprehensive market

Issue link:

Contents of this Issue


Page 51 of 59

50 • ROCK products • November 2017 CRH to Acquire Ash Grove Cement Overland Park, Kan.-based Ash Grove Cement Co. announced that shareholders controlling just over 63 percent of the company's voting stock have approved an Agreement and Plan of Merger with CRH plc. The $3.5 billion transaction remains subject to regulatory approval and is expected to close in late 2017 or early 2018. In announcing the agreement in late September, Charlie Sunderland, Ash Grove chairman, said, "CRH, as our largest customer, has enjoyed a close and highly productive relation- ship with Ash Grove for many decades. The board of directors believes that CRH will be able to take Ash Grove to its next phase of development after 135 years in operation and over a century under the stewardship of the Sunderland family." Albert Manifold, chief executive of CRH, added, "Ash Grove is an excellent addition to CRH's portfolio of businesses across North America as we seek to deploy our capital into high-quality businesses that enhance our global asset base and provide opportunities to create shareholder value. We welcome the Ash Grove team to CRH and look forward to further developing our longstanding relationship as part of one company." The CRH takeover had a small shakeup in early October when Ash Grove received an "unsolicited, preliminary, non-bind- ing competing acquisition proposal" from Summit Materials, potentially valuing the business at $3.7 billion to $3.8 bil- lion. The offer compelled Ash Grove to extend the period for obtaining shareholder approval for the CRH deal to Oct. 20. Ash Grove noted in the shareholder vote announcement that Summit had not submitted a definitive proposal. Cemex received the Southern California Edison (SCE) 2017 Energy Efficiency Award for its commitment to conserving energy and land stewardship at its Victorville cement plant, which has served the California High Desert community for more than 100 years. Company representatives were presented with the award during the 7 th Annual Hispanic Heritage Month Celebration. "Cemex considers energy usage and the environment at all of our operations," said Eric Wittmann, Cemex USA regional president – West Region. "It's an honor to be recognized for the hard work we do each day. Conserving energy is not only the right thing to do, but it is our responsibility to do it." Dr. Hugo Bolio, Cemex USA's executive vice president – cement operations and technology, added, "At Cemex, we are always looking for ways to improve our energy usage at our cement plants. We care about the communities in which we live and operate, and by using less energy we have a positive impact on them and the environment." The Victorville facility was among four Cemex cement plants to achieve the U.S. Environmental Protection Agency's Energy Star Certification for 2017. Other Cemex operations in Southern California have also been recognized for their commitment to energy conservation. Terminals located in La Mirada and San Diego, Calif., achieved the Energy Star Chal- lenge for Industry for reducing their energy consumption by more than 10 percent. Cemex Honored for Energy Efficiency, Land Stewardship Cemex announced that it sold a 9.47 percent direct interest in Mexico-based Grupo Cementos de Chihuahua (GCC) for approximately $168 million, which will be used mainly for debt reduc- tion and general corporate purposes. The company continues to have a 20 percent indirect interest in GCC through CAMCEM, an entity that owns a majority interest in GCC and in which Cemex has a direct interest. The sale of the GCC shares comprised the remainder of Cemex's direct interest in GCC, which was not pre- viously sold earlier this year. The company had directly owned 23 per- cent of the outstanding share capital of GCC. The sale is part of Cemex's previously announced global asset divestiture plans. Cemex Sells Remaining GCC Shares

Articles in this issue

Links on this page

Archives of this issue

view archives of Rock Products - NOV 2017