Rock Products

JUL 2019

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

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14 • ROCKproducts • July 2019 IN THE KNOW Wendling Quarries Inc. purchased the Iowa assets of Coots Materials Co. (CMC), according to a company announcement. "We are honored to have been approached by Dave and Mary Coots, along with their daughter Tyneal and Jody Herger, to purchase their company. The offer was largely a result of a longstanding friendship between Dave Coots and Tony Manatt," the company stated. Wendling Quarries and CMC have com- peted in the Benton County, Iowa, area since 1995 when Wendling bought out B.L. Anderson's quarries in the surrounding area. Manatt's ready mix plant in Vinton, Iowa, has been a long- time customer of CMC as well. This contributed to a relationship that ulti- mately led to Wendling Quarries being offered the opportunity to purchase CMC's family owned and operated business. Coots Sand Co. was founded by Floyd and Gwen Coots (Dave's parents) on May 1, 1958, with Floyd's purchase of a sand and gravel dredging oper- ation. In 1962, the Coots expanded their operations to include limestone production and changed the name to Coots Materials Co. At that same time, they got into the trucking and lime spreading business. Dave entered into partnership with his father in 1976 and then became the sole owner of the company when Floyd and Gwen retired in 1985. Mary joined the company that year as a scale operator and took on the accounting duties left behind by Gwen. Dave served as president of the Iowa Limestone Producers Association in 1992. In the 2000s, Mary handed off the financial and human resources work to her daughter, Tyneal. Likewise, although Dave remained heavily involved, he handed off much of the day-to-day oper- ations to his son-in-law, Jody Herger. In other words, CMC has been a family business in the truest sense – passed down and through multiple genera- tions. The time came, however, when Dave and Mary were ready to retire and Tyneal and Jody were ready to focus their energies on other endeavors. So, they decided to sell the company – a difficult decision for all of them, espe- cially because of the sacrifice it took to get where they are, and the pride and care they have for their employees. "I believe that's why they chose Wend- ling Quarries as a prospective buyer for their company – they believed we would take care of the people that worked so hard to help them build a great com- pany. Now they have entrusted us to do so and we will not let them down," said Wendling's Rob Manatt. "In pur- chasing CMC, 19 new employees have joined our family business. It's always interesting to discover how different companies achieve similar goals and we look forward to sharing knowledge and incorporating each other's ideas." Several key assets were acquired in the deal: • A shop and office in Vinton. • Coots Quarry. • Jabens Quarry. • Coots Sand Pit. • Additional land and reserves. • Portable crushing spread. • Stationary wash plant. • Stationary sand plant and dredge. • Material delivery trucks. FAST FACT tĞŶĚůŝŶŐYƵĂƌƌŝĞƐĂŶĚD ŚĂǀĞĐŽŵƉĞƚĞĚŝŶƚŚĞĞŶ- ƚŽŶŽƵŶƚLJ/ŽǁĂĂƌĞĂƐŝŶĐĞ ƚŚĞĐŽŵƉĂŶLJďŽƵŐŚƚŽƵƚ> ŶĚĞƌƐŽŶƐƋƵĂƌƌŝĞƐŝŶƚŚĂƚ ĂƌĞĂŝŶϭϱ Wendling Quarries Acquires Coots Materials Eagle Materials Inc. announced that its board of directors approved a plan to separate its Heavy Materials and Light Materials businesses into two inde- pendent, publicly traded corporations by means of a tax-free spin-off to Eagle shareholders. The separation is expected to be completed in the first half of 2020. The company also announced that it is actively pursuing alternatives for its Oil and Gas Proppants business with the support of an independent financial advisor. Further, the company's board will continue to evaluate any opportunity to create value that may arise prior to completion of the separation. The announcement follows a thorough review of strategic, operational and financial alternatives to enhance share- holder value by the company's board and management team, with the sup- port of independent financial and legal advisors and input from the company's largest shareholders, including Sachem Head Capital Management. Mike Nicolais, Eagle's chairman, said, "The Eagle board and management team has maintained a regular eval- uation of the strategic and financial options to best position the company to drive value for shareholders. Histor- ically, our Light and Heavy businesses have provided Eagle with balance and financial strength; however, the board recognized that our industry-leading performance is not adequately reflected in the market value of the combined company. We engaged with sharehold- ers and took their input into account in coming to this conclusion. Based upon our recent comprehensive review of var- ious strategic, operational and financial Eagle Materials to Separate Heavy, Light Materials Businesses

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