Martin Marietta entered into a definitive agreement to sell certain West Coast cement and ready-mixed concrete operations to CalPortland Co. for $250 million.
The operations include the Redding cement plant, related cement distribution terminals and 14 ready-mixed concrete plants located in California.
“Consistent with our SOAR (Strategic Operating Analysis & Review) 2025 plan, we continually look for ways to optimize our portfolio and product mix through asset swaps and divestitures,” says Ward Nye, chairman, president and CEO of Martin Marietta. “After thoughtful evaluation, we determined that monetization of these operations is the best avenue to maximize value for all stakeholders.”
The transaction is expected to close in the second half of 2022, subject to regulatory approvals and other customary closing conditions.
The companies also entered into preferred arrangements regarding the potential sale of Martin Marietta’s Tehachapi cement plant and related cement distribution terminals. However, there is no assurance that an agreement for Tehachapi will happen.
