Lafarge deal could enhance CRH earnings
Some financial analysts claim Irish cement maker CRH’s acquisition of certain assets from LafargeHolcim will boost its earnings by more than 30 percent over the next year, according to the Irish Examiner.
CRH purchased the assets from the European cement giant for about $7.2 billion.
“We see the deal as a transformational acquisition, which could be around 34 percent accretive to earnings in its first full year,” says Robert Gardiner of Davy Stockbrokers.
According to the Irish Examiner, CRH initially agreed last February to buy assets across Europe, Asia and the Americas that had to be sold in order for the Lafarge/Holcim merger to take place. The purchase is set to boost CRH into becoming the world’s third-largest building materials business, the Irish Examiner says.
“The businesses we are acquiring, which represent an excellent geographic fit with CRH’s existing operations, are all strong performers in their respective areas,” says Albert Manifold, CRH chief executive. “The integration of these high quality assets – which we have acquired at an attractive valuation and at the right point of the cycle – will strengthen our presence in a number of key markets, as well as providing new platforms for strategic growth.”
This purchase will boost CRH’s workforce by 15,000 people, reports the Irish Examiner.
About the Author: Allison Kral
Allison Kral is the former senior digital media manager for North Coast Media (NCM). She completed her undergraduate degree at Ohio University where she received a Bachelor of Science in magazine journalism from the E.W. Scripps School of Journalism. She works across a number of digital platforms, which include creating e-newsletters, writing articles and posting across social media sites. She also creates content for NCM's Portable Plants magazine, GPS World magazine and Geospatial Solutions. Her understanding of the ever-changing digital media world allows her to quickly grasp what a target audience desires and create content that is appealing and relevant for any client across any platform.Subscribe to Pit & Quarry
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