Italcementi has expanded its downstream operations by two acquisitions, one in the United States and the other in Kuwait.
Following the first meaningful downstream acquisitions in North America last year, Italcementi’s North American subsidiary Essroc has now purchased Crider & Shockey, based in Winchester, Virginia. Crider & Shockey, which has been in the ready-mixed concrete business since 1943, operates ten batching plants in Northern Virginia. On average over the last three years, annual production volumes were around 0.25Mm³ and the EBITDA was in the region of US$6.5m.
The second move was in Kuwait, where the Italcementi subsidiary Hilal Cement Company, which operates two cement terminals in the country, purchased Kuwait German Company for Ready Mix Concrete. This company, which is based at Sulaibia, has an annual production rate averaging 0.14Mm³ over the past three years and an EBITDA in excess of US$1.5m.