CRH announces 2014 acquisition spend of EUR0.19bn

CRH announces 2014 acquisition spend of EUR0.19bn
08 January 2015

CRH announced a total 2014 acquisition and investment spend of EUR0.19bn, reflecting the completion of 21 transactions. On the divestment front, the group undertook 16 transactions and realised total disposal proceeds of EUR0.35bn.

Commenting on these developments, Albert Manifold, CRH Chief Executive, said: “In August 2014 we announced a multi-year EUR1.5 billion to EUR2 billion divestment programme; the proceeds of EUR0.35bn generated in 2014 demonstrate that this programme is well underway. With a refined portfolio focus, the Group is now well-positioned to pursue acquisitions which are in line with our long-term growth strategy. The 21 transactions completed during 2014 comprise primarily bolt-on acquisitions for our existing operations in the Americas, together with the expansion of our builders merchanting network in Europe.”

Europe: eight acquisitions and seven divestments

Acquisitions – ca EUR40m
The Heavyside operations in Europe acquired selected readymixed concrete and aggregates assets of Cemex Ireland (including 12Mt of high quality reserves) and a precast concrete business in Denmark, adding total annualised sales of ca EUR10m. Its Distribution business completed six acquisitions in the Benelux, France and Germany, adding a total of nine branches with annualised sales of ca EUR70m.

Divestments – ca EUR240m
The disposal of CRH’s 50 per cent equity stake in Denizli Çimento, the Group’s only involvement in the Turkish construction market, was the largest single divestment in 2014, realising proceeds of EUR170m. The Heavyside Division also disposed of a number of readymixed concrete and concrete products businesses, while all three Europe Divisions realised proceeds from disposal of surplus assets. 

Americas: 13 acquisitions and nine divestments

Acquisitions – ca EUR150m  
Eight bolt-on acquisitions were completed by CRH's Americas Materials Division in 2014 throughout the US adding annualised incremental sales of ca US$50m and over 230Mt of aggregate reserves. The company’s Americas Products Division completed five transactions with ca US$90m of incremental sales in the Precast, Architectural Products and Construction Accessories businesses.

Divestments – ca EUR110m
The Materials Division disposed of several non-core operations across the US and completed an asset exchange in the state of Washington. The Products Division sold five operations in the Precast, Architectural Products and Building Envelope businesses.

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Tagged Under: Ireland Divestments Acquisition CRH