CRH agree US$1.1 billion divestment of European lime operations

CRH has reached an agreement to divest its lime operations in Europe to SigmaRoc plc for a total consideration of US$1.1 billion.

The transaction is subject to customary conditions and regulatory approvals.

The deal comprises 16 operating locations with leading market positions across Ireland, the UK, Germany, Czech Republic and Poland. The combined Business generated sales of approximately US$610 million and EBITDA of US$137 million in 2022.

The transaction is structured in three phases, the first of which is expected to be completed in early 2024 comprising the Group’s lime operations in Germany, Czech Republic and Ireland. The remaining phases, consisting of operations in the UK and Poland, are expected to be completed in 2024.

Albert Manifold, chief executive of CRH, said: “The decision to divest at an attractive valuation follows a comprehensive review of the Business and demonstrates CRH’s active approach to portfolio management. The proceeds from the divestment will provide us with significant additional capital allocation opportunities to deliver further growth and value creation for our shareholders”.