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Boral Ltd. consummated a $2.6 billion takeover of South Jordan, Utah-based Headwaters Inc., following U.S. Federal Trade Commission clearance. The deal brings the North Sydney, Australia, suitor upward of 8 million tons of annual fly ash volume, owing to Headwaters’ leading position in coal combustion residuals processing and marketing; additional light building products offerings; and, a doubling of roofing and manufactured stone market stakes. In the latter product category, it unites the Cultured Stone and Eldorado Stone brands.

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A pre-merger shareholder presentation charts the depth of exterior Headwaters Building Products offerings complementing the Boral USA stone, brick and related cladding portfolio. Headwaters Inc. framed the graphic as “Wrapping the house with high-margin, niche products.”

Boral USA and Headwaters are combining to form a new division, Boral North America, based in Atlanta with annual sales of $1.8 billion. Boral Ltd. projects U.S. business synergies of $30 million to $35 million early on, climbing to $100 million by 2020. Boral USA President and CEO David Mariner will maintain his titles at Boral North America and lead an integration team.

While management awaited U.S. regulator approval on a merger plan unveiled in November, notes Boral Ltd. CEO Mike Kane, “We continued to develop our integration plans and are confident in the synergy targets established when the transaction was announced. Both organizations are highly aligned strategically and culturally so it’s an exciting time as we come together to deliver substantial value for customers, shareholders and employees.”

“Reaching this milestone demonstrates the commitment and belief we all have in this value-creating merger of two great businesses,” Kane adds. “We are ready and well-positioned to deliver on our promises.”