Sources: AmeriTex Holdings LLC, Seguin, Texas; CP staff
The Lone Star State’s top concrete pipe, box culvert and precast concrete drainage structures producer recently closed a $155 million credit facility with Bank of America to combine with $530 million in senior notes raised with BofA Securites in October 2023. The financing leeway positions AmeriTex to grow capacity and product offerings for Texas contractors, including those in design-build projects with tight delivery windows for high volume orders.
AmeriTex produces concrete pipe, box culvert and precast drainage structures in campus-like Seguin, Conroe and Gunter, Texas operations. They collectively span 1,000-plus acres—more than all Lone Star State competitors’ storage areas combined. Along with volume potential, the plants have the flexibility to serve a broad range of needs, from small residential developments to the largest highway projects.
“We build lasting relationships that endure through economic and industry cycles, making us a reliable and trusted customer, supplier, and financial partner,” says AmeriTex Founder, Chairman and CEO Kevin Thompson. “With Texas Department of Transportation recently announcing another record year of projects, Texas County property receipts growing to record levels from rising home values, and the move of about a dozen Fortune 500 headquarters and thousands of other companies to Texas in the last handful of years, AmeriTex understands that it needs to continue to grow to meet customer needs. We listen carefully and work tirelessly to meet the needs of our contractor friends.”
The new credit facility coincides with the installation of the Schlusselbauer Magic system for risers and cones to complement the producer’s Perfect System and AmeriTex Couplings (patent pending). “We believe that our 700,000 tons of precast capacity far exceeds our combined Texas competitors and, as importantly, the monolithic bases, bends and wyes are stronger and
more precise than anything ever produced in Texas,” notes AmeriTex President Rocky Lorenz. “We’ve taken the next step to enhance the sustainability of Texas infrastructure. Lastly, our recent investment in corrugated pipe will align nicely with our specialized precast products to allow our customers to complete a job in record time.”
“BofA and our other long-term financing partners understand Kevin and Rocky’s commitment to customers to meet their growing needs,” adds AmeriTex Founding Director Tom Murphy. “We enjoy watching the precision with which the team builds and operates these massive, unique facilities. We endeavor to remain steps ahead of any liquidity requirements that we anticipate from the many requests of our customers. We have more than enough liquidity to provide the value our customers deserve to meet Texas’ growing infrastructure needs.”