The largest producer of construction aggregates in the US, Vulcan Materials Co., has reached an agreement to acquire Polaris Materials Corp., an aggregates are logistics company that serves markets in California from operations in British Columbia, Canada.
The acquisition continues Vulcan’s efforts to “built-up our industry-leading position in the state of California,” said Vulcan’s CEO, Tom Hill, in a statement.
“Polaris has assembled high-quality aggregate reserves that will further expand out product offerings, particularly for certain concrete applications, as well as out geographic coverage in markets in the San Francisco and Los Angeles metro areas.”
The Polaris business includes a high-capacity aggregates processing plant and deep-water port on Vancouver Island, as well as association long-term aggregate reserves and five distribution yard outlets in the San Francisco Bay Area and Long Beach.
“This acquisition will enhance our logistics capabilities with the ship delivery of aggregate products and provide Vulcan with a platform for future distribution outlet opportunities along the Pacific Coast,” continued Hill.
The acquisition is “especially timely”, said Hill, given California’s recent provision of US$52 billion for key transportation infrastructure projects over the next ten years, as well as a number of local initiatives that will add more than US$1 billion annually for infrastructure projects.
The transaction will be subject to approval by Polaris Material’s security holders, the Supreme Court of the British Columbia, and other customary closing conditions. Subject to these approvals, the transaction is expected to complete in 4Q17.
Read the article online at: https://www.worldcement.com/the-americas/29082017/vulcan-materials-to-buy-polaris-materials/