Breedon acquires Falling Springs Quarry for $120m

(Sharecast News) - Construction materials group Breedon Group said on Tuesday that it had acquired limestone quarry Falling Springs Quarry for $120m.

Breedon said Falling Springs, a highly automated quarry with 185m tonnes of limestone reserves strategically located approximately 15 minutes from downtown St Louis, has an output of over 2.2m tonnes per annum and will be integrated with its existing operations in the region.

The FTSE 250-listed firm stated the transaction was expected to be immediately margin and earnings enhancing and was funded through Breedon's existing revolving credit facility.

Following the transaction, Breedon's pro-forma covenant leverage at 31 December 2025 would have been 2.0x which remains in line with its financial framework.

Breedon added that the acquisition was in line with its strategy to expand through "disciplined, value-accretive M&A" as it scales its US business.

Chief executive Rob Wood said: "The acquisition of Falling Springs Quarry represents an attractive bolt-on investment which strengthens our US platform with a premium aggregates asset in an exceptionally strategic location.

"The business is well-invested, highly cash generative and extremely complementary to our existing operations in the St Louis area, supporting our long-term growth ambitions in the United States."

As of 1045 BST, Breedon shares were up 0.22% at 276p.

Reporting by Iain Gilbert at Sharecast.com

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