Tarmac swaps quarries for Breedon concrete plants

Independent aggregates and concrete specialist Breedon has struck a deal with Tarmac to swap a swathe of ready-mixed concrete plants for four quarries.

Under the deal, valued at £16.5m, Breedon will hand 27 ready-mix concrete plants to Tarmac with a £4.9m cash payment for the quarries and an asphalt plant. 

The deal is subject to rubber stamping  by the Competition & Markets Authority.

Quarries being exchanged are located in Scotland, Cumbria and North Wales, together with a quarry and asphalt plant in West Wales.

Ready-mixed concrete operations being offloaded from Breedon’s network of 200 plants are in multiple locations extending from Dumfries in Scotland to Exeter in Devon. 

Tarmac assets

            Daviot Quarry, Inverness

            Low Plains Quarry, Penrith

            Borras Quarry, Wrexham

            Minffordd Quarry & Asphalt Plant, near Porthmadog

 

Breedon ready-mixed concrete plants

           

Alrewas                                                           Llandybie

Banbury                                                           Llanelli

Boroughbridge                                                Llynclys

Bournemouth                                                  Meriden

Bridgend                                                          Pembroke

Briton Ferry                                                     Portsmouth

Cardiff                                                             Scorton

Cardigan                                                         Shawell

Carmarthan                                                     Southampton

Colchester                                                      Stancombe

Dumfries                                                         Tongwynlais

Dunald Mill                                                       Tredegar

Exeter                                                              Wellington

The deal is in line with Breedon’s strategy of expanding its aggregates portfolio, in this case adding approximately 25 million tonnes to its mineral reserves and resources, and boosting asphalt capacity.

Pat Ward, Breedon’s Group Chief Executive, said: “This deal brings significant benefits: it adds to our reserve base; it is margin-enhancing; it releases value from peripheral readymix plants; and it will enable us to replace third-party aggregates providers with our own sources of supply.

“It is also a great example of how we can work with our larger peers – in this case CRH, one of the world’s most successful global building materials companies – to benefit customers and other stakeholders on both sides.”

from Construction Enquirer http://www.constructionenquirer.com/2017/12/13/tarmac-swaps-quarries-for-breedon-concrete-plants/

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