Granite Completes Acquisition of Dickerson & Bowen, Inc.
Granite Construction Incorporated (NYSE: GVA) has completed the acquisition of Dickerson & Bowen, Inc. (D&B), a leading regional aggregates, asphalt, and highway construction company in Mississippi. This acquisition adds three sand and gravel pits and four asphalt plants to Granite's southeast home market, extending its footprint to central and southern Mississippi. The purchase complements Granite's 2023 acquisition of Lehman-Roberts Company / Memphis Stone & Gravel, strengthening its presence in the Memphis metropolitan and Mississippi markets.
Granite's CEO, Kyle Larkin, emphasized that this acquisition aligns with the company's 'strengthen and expand' capital allocation strategy, focusing on vertically integrated construction and materials operations. The company financed the acquisition through cash on hand and continues to evaluate M&A opportunities within its existing footprint and in new geographies.
Granite Construction Incorporated (NYSE: GVA) ha completato l'acquisizione di Dickerson & Bowen, Inc. (D&B), un importante azienda regionale specializzata in aggregati, asfalto e costruzioni stradali nel Mississippi. Questa acquisizione aggiunge tre cave di sabbia e ghiaia e quattro impianti di asfalto al mercato domestico sud-orientale di Granite, estendendo la sua presenza al Mississippi centrale e meridionale. L'acquisto integra l'acquisizione nel 2023 della Lehman-Roberts Company / Memphis Stone & Gravel, rafforzando la sua presenza nei mercati metropolitani di Memphis e Mississippi.
Il CEO di Granite, Kyle Larkin, ha sottolineato che questa acquisizione è in linea con la strategia di allocazione del capitale 'rinforzare ed espandere' dell'azienda, focalizzandosi su operazioni di costruzione e materiali verticalmente integrate. L'azienda ha finanziato l'acquisizione tramite liquidità disponibile e continua a valutare opportunità di fusioni e acquisizioni all'interno della propria presenza attuale e in nuove aree geografiche.
Granite Construction Incorporated (NYSE: GVA) ha completado la adquisición de Dickerson & Bowen, Inc. (D&B), una empresa líder regional en agregados, asfalto y construcción de carreteras en Mississippi. Esta adquisición agrega tres canteras de arena y grava y cuatro plantas de asfalto al mercado local del sureste de Granite, ampliando su huella al centro y sur de Mississippi. La compra complementa la adquisición de Granite en 2023 de Lehman-Roberts Company / Memphis Stone & Gravel, fortaleciendo su presencia en los mercados metropolitanos de Memphis y Mississippi.
El CEO de Granite, Kyle Larkin, enfatizó que esta adquisición está alineada con la estrategia de asignación de capital 'fortalecer y expandir' de la empresa, que se centra en operaciones de construcción y materiales verticalmente integradas. La empresa financió la adquisición a través de efectivo disponible y sigue evaluando oportunidades de fusiones y adquisiciones dentro de su huella existente y en nuevas geografías.
Granite Construction Incorporated (NYSE: GVA)는 미시시피에 있는 주요 지역 집합체, 아스팔트 및 고속도로 건설 회사인 Dickerson & Bowen, Inc. (D&B)의 인수를 완료했습니다. 이 인수로 Granite의 동남부 자국 시장에 세 개의 모래 및 자갈 채굴장과 네 개의 아스팔트 공장이 추가되며, 중부 및 남부 미시시피로의 입지가 확대됩니다. 이번 구매는 Granite의 2023년 Lehman-Roberts Company / Memphis Stone & Gravel 인수를 보완하여 멤피스 대도시 및 미시시피 시장에서의 존재감을 강화합니다.
Granite의 CEO인 Kyle Larkin은 이번 인수가 회사의 '강화 및 확장' 자본 배분 전략과 일치하며 수직통합된 건설 및 자재 운영에 중점을 두고 있다고 강조했습니다. 회사는 현금으로 인수를 자금 조달하였으며, 기존 입지 내 및 새로운 지역에서의 M&A 기회를 계속 평가하고 있습니다.
Granite Construction Incorporated (NYSE: GVA) a terminé l'acquisition de Dickerson & Bowen, Inc. (D&B), une entreprise régionale leader dans les agrégats, l'asphalte et la construction routière dans le Mississippi. Cette acquisition ajoute trois carrières de sable et de gravier et quatre centrales d'asphalte au marché national du sud-est de Granite, étendant son empreinte au centre et au sud du Mississippi. Cet achat complète l'acquisition par Granite de la Lehman-Roberts Company / Memphis Stone & Gravel en 2023, renforçant sa présence sur les marchés métropolitains de Memphis et du Mississippi.
Le PDG de Granite, Kyle Larkin, a souligné que cette acquisition est en adéquation avec la stratégie d'allocation du capital 'renforcer et étendre' de l'entreprise, en se concentrant sur les opérations de construction et de matériaux intégrées verticalement. L'entreprise a financé l'acquisition par des liquidités disponibles et continue d'évaluer les opportunités de fusions et acquisitions au sein de son empreinte existante et dans de nouvelles géographies.
Granite Construction Incorporated (NYSE: GVA) hat die Übernahme von Dickerson & Bowen, Inc. (D&B), einem führenden regionalen Unternehmen für Gesteinskörnungen, Asphalt und Straßenbau in Mississippi, abgeschlossen. Diese Übernahme fügt Granite drei Sand- und Kiesgruben sowie vier Asphaltwerke in seinem südostamerikanischen Heimatmarkt hinzu und erweitert dessen Präsenz auf Zentral- und Süd-Mississippi. Der Kauf ergänzt Granites Übernahme der Lehman-Roberts Company / Memphis Stone & Gravel im Jahr 2023 und stärkt seine Präsenz in den Metropolräumen von Memphis und Mississippi.
Der CEO von Granite, Kyle Larkin, betonte, dass diese Übernahme mit der Kapitalallokationsstrategie des Unternehmens 'stärken und erweitern' übereinstimmt, die sich auf vertikal integrierte Bau- und Materialbetriebe konzentriert. Das Unternehmen finanzierte die Übernahme durch vorhandene liquide Mittel und prüft weiterhin M&A-Möglichkeiten innerhalb seiner bestehenden Präsenz sowie in neuen geografischen Regionen.
- Acquisition of three sand and gravel pits and four asphalt plants
- Expansion of footprint to serve central and southern Mississippi
- Strengthens presence in the Memphis metropolitan and Mississippi markets
- Aligns with 'strengthen and expand' capital allocation strategy
- Financed through cash on hand, indicating strong liquidity
- None.
Insights
Granite Construction's acquisition of Dickerson & Bowen (D&B) is a strategic move that strengthens its position in the Southeast U.S. market. This bolt-on acquisition adds three sand and gravel pits and four asphalt plants to Granite's portfolio, expanding its vertical integration capabilities. The deal, financed through cash on hand, demonstrates Granite's strong liquidity position and commitment to growth.
The acquisition aligns with Granite's 'strengthen and expand' strategy, focusing on core competencies in construction and materials operations. This approach typically leads to improved margins and operational efficiencies. The expansion into central and southern Mississippi markets could potentially drive revenue growth and increase market share in the region.
Investors should note that while such acquisitions can provide immediate benefits, the true value will be realized in the long-term integration and synergy realization. Keep an eye on future earnings reports for indicators of successful integration and improved financial performance in the Southeast segment.
The acquisition of D&B by Granite Construction is a calculated move in a consolidating industry. The construction materials sector is experiencing a trend of vertical integration and geographical expansion, driven by the need for supply chain control and economies of scale. This acquisition positions Granite to capitalize on potential infrastructure spending in the Southeast, a region experiencing population growth and economic development.
The deal extends Granite's footprint from the Memphis area into Mississippi, creating a contiguous market presence that could lead to operational synergies and enhanced competitive positioning. The addition of sand and gravel pits is particularly strategic, as these are finite resources that are becoming increasingly valuable in growing urban areas.
Investors should consider the long-term implications of this move, as it strengthens Granite's ability to bid on larger projects and potentially improve profit margins through vertical integration. However, success will depend on effective integration and management of the expanded operations.
Acquisition adds three sand and gravel pits and four asphalt plants to Granite’s southeast home market, extending footprint to serve central and southern
“We are excited to complete this acquisition of an outstanding materials-focused business that expands our footprint in the Southeast,” says Kyle Larkin, Granite President and Chief Executive Officer. “This purchase continues our ‘strengthen and expand’ capital allocation strategy by investing in vertically integrated construction and materials operations that have been our core business for over 100 years. I expect Granite to continue to grow both organically and through M&A as we continue to implement our strategy. Although we remain very selective, we are continually evaluating M&A opportunities within our existing footprint, as well as in new geographies.”
The acquisition was financed through cash on hand.
About Granite
Granite is America’s Infrastructure Company™. Incorporated since 1922, Granite (NYSE:GVA) is one of the largest diversified construction and construction materials companies in
Forward-looking Statements
Any statements contained in this news release that are not based on historical facts, including statements regarding future events, occurrences, opportunities, circumstances, activities, performance, growth, demand, strategic plans, shareholder value, outcomes, outlook, a growth platform in the Southeast and continued growth both organically and through M&A as Granite continues to implement its strategy and results constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by words such as “future,” “outlook,” “believes,” “expects,” “estimates,” “plans,” “may,” “will,” “could,” “continue,” "create" and the negatives thereof or other comparable terminology or by the context in which they are made. These forward-looking statements are estimates reflecting the best judgment of senior management and reflect our current expectations regarding future events, occurrences, opportunities, circumstances, activities, performance, growth, demand, strategic plans, shareholder value, outcomes, outlook, a growth platform in the Southeast and continued growth both organically and through M&A as Granite continues to implement its strategy and results. These expectations may or may not be realized. Some of these expectations may be based on beliefs, assumptions or estimates that may prove to be incorrect. In addition, our business and operations involve numerous risks and uncertainties, many of which are beyond our control, which could result in our expectations not being realized or otherwise materially affect our business, financial condition, results of operations, cash flows and liquidity. Such risks and uncertainties include, but are not limited to, those described in greater detail in our filings with the Securities and Exchange Commission, particularly those described in our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
Due to the inherent risks and uncertainties associated with our forward-looking statements, the reader is cautioned not to place undue reliance on them. The reader is also cautioned that the forward-looking statements contained herein speak only as of the date of this news release and, except as required by law; we undertake no obligation to revise or update any forward-looking statements for any reason.
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Source: Granite Construction Incorporated
FAQ
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