Arcosa came to an agreement to acquire the Stavola Holding Corp. construction materials business in a deal valued at $1.2 billion.
Stavola, founded in 1948, is an aggregates-led and vertically integrated construction materials company that primarily serves the New York-New Jersey metro statistical area (MSA). The company has five hard rock quarries, 12 asphalt plants and three recycled aggregate sites.
“Since becoming an independent public company in 2018, Arcosa has successfully executed against its long-term vision to grow in attractive markets and reduce the complexity and cyclicality of the overall business through strategic acquisitions and select divestitures,” says Antonio Carrillo, president and CEO of Arcosa. “Over that time, we have expanded our construction products business both organically and inorganically, deploying approximately $1.5 billion on value-enhancing acquisitions to date and increasing our aggregates presence in the top 50 MSAs.
“The acquisition of Stavola accelerates Arcosa’s strategic transformation by adding a premier aggregates-led platform in the nation’s largest MSA with favorable attributes from its exposure to lower volatility infrastructure-led end markets,” Carrillo adds.
In a related development, Arcosa agreed to sell its steel components business to Stellex Capital Management. Stellex is a New York-based private equity firm.
Based in Pennsylvania and operating under the brands McConway & Torley, Standard Forged Products, and McKees Rock Forgings, the steel components business serves rail, mining and other infrastructure-related industries.
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