Barco Investment Group has acquired Construction Technology Laboratories, Inc. (CTLGroup), the for-profit Portland Cement Association subsidiary, along with the Skokie, Ill., campus that has served as PCA headquarters since 1968. CTLGroup began as the group’s research and development arm in 1916, and was designated an independent engineering, research, and laboratory consulting firm in 1987.
|The PCA and adjacent CTLGroup headquarters, built in the late 1960s and 1940s, occupy prime north suburban Chicago plots.|
“We are excited about the purchase of CTLGroup and the historic PCA campus,” says Barco Investment Chairman Cary Cohrs, who served as 2012-13 PCA chairman and led Florida-based American Cement LLC. “Through the many talented people working at CTLGroup, we expect the company will experience strong growth and further build upon its reputation as an industry leader.”
“Offices in Skokie and Washington D.C. will continue to represent America’s cement industry, while CTLGroup will get a chance to thrive under new ownership,” notes PCA CEO Michael Ireland, who is based at the group’s new Alexandria, Va. office. PCA and CTLGroup staff, he adds, will continue to work at the Skokie campus as well as Washington, D.C. and Virginia offices.
Cemex, Eagle MATERIALS pen $665M Kosmos CEMENT asset deal
Cemex S.A.B. de C.V. continues to narrow the Cemex USA portfolio to concrete, aggregate and cement operations in coastal or southern border states. The latest move is a planned asset sale involving Kentucky’s Kosmos Cement Co., seven distribution terminals plus raw material reserves to Dallas-based Eagle Materials Inc. As a 75/25 partner with Buzzi Unicem S.p.A. in Kosmos Cement, whose Louisville flagship has a 1.7-million-ton/year capacity, Cemex will realize an estimated $499 million from the transaction.
The Kosmos facilities are a natural fit for Eagle Materials’ integrated network of cement plants in the U.S. heartland, says CEO Michael Haack. “[They] are high-quality, low-cost assets that align with our long-term strategic growth plans and meet our criteria for new investment,” he adds. “These assets will also enable us to participate more significantly in U.S. construction and infrastructure market growth.”
“This acquisition is especially timely in light of plans to separate our Heavy Materials and Light Materials businesses into two independent, publicly traded corporations,” affirms Chairman Mike Nicolais. “This investment reflects the balanced approach Eagle takes in capital allocation between profitable growth and return of capital to shareholders.”
Cemex CEO Fernando Gonzalez calls the transaction another milestone in achieving the objectives of “A Stronger Cemex,” an asset-streamlining program nearing $1.3 billion in proceeds.