Nov. 25 at 12:02 PM
$SUM Summit Materials to be acquired by Quikrete for
$52.50 per share in cash
Summit Materials announced it has entered into a definitive agreement to be acquired by Quikrete for
$52.50 per share in cash, for a total enterprise value of approximately
$11.5B, including debt. The transaction price represents an approximately 36% premium to Summit's unaffected 90-day volume weighted average price and an approximately 29% premium to Summit's unaffected share price. The combination has been unanimously approved by the Summit and Quikrete boards of directors. The transaction combines Summit's aggregates, cement and ready-mix concrete businesses with Quikrete's concrete and cement-based products business to create a vertically integrated, North American, construction materials solutions provider with strong customer relationships and iconic products.
The transaction is expected to close in the first half of 2025, subject to Summit shareholder approval, regulatory approvals and other customary closing conditions. Upon completion of the transaction, Summit will become a privately held subsidiary of Quikrete and its common stock will no longer be traded on the NYSE. Summit's largest shareholder, Cementos Argos, has entered into an agreement pursuant to which it has committed to vote all of its shares of Summit's common stock in favor of the transaction.
Quikrete has obtained commitment letters for the financing necessary to complete the transaction, which is not subject to a financing condition. For further information regarding the terms and conditions contained in the definitive transaction agreement, please see Summit's current report on Form 8-K, which will be filed with the U.S. Securities and Exchange Commission in connection with the transaction.
