CEMEX is selling its Pacific Northwest Materials business consisting of aggregate, asphalt and ready mix concrete operations in Oregon and Washington to Cadman Materials, a LehighHanson company and U.S. subsidiary of HeidelbergCement Group, for about $150 million.
The proceeds from the sale will be used mainly for debt reduction and for general corporate purposes, CEMEX said. The sale should be final during the second quarter of 2017.
Cemex’s Pacific Northwest Materials includes seven aggregate quarries, five ready-mix concrete plants and two asphalt operations employing about 350 employees.
“The operations are an ideal strategic fit in order to broaden our vertically integrated market position in the states of Washington and Oregon,” said Bernd Scheifele, chairman of HeidelbergCement. “This is a bolt-on acquisition with low risks and we are expecting significant synergies. It is part of our strategy of disciplined growth and increasing shareholder returns.”