CRH’s second-half 2013 acquisition and investment spend is €0.22bn

723 CRH says it made seven acquisition and investment initiatives during the second half of 2013. These transactions, together with the previously announced acquisition of Mykolaiv Cement in Ukraine, and the purchase of Sree Jayajothi Cements by its 50:50 joint venture, My Home Industries, in India, bring total second half spend to €0.22 billion and group development activity for 2013 to approximately €0.69 billion.

“Development spend of almost €0.7 billion in 2013 reflected our strategic focus on establishing leading positions in attractive markets. During the second half of the year, we continued to strengthen our cement operations in high growth markets in Ukraine, India and China. The second half also saw several attractive bolt-on transactions which expand our aggregates positions in a number of key markets in the United States. In our Distribution segments, which benefit from resilient RMI spend in developed markets, we were pleased to add four branches to our existing network of builders merchanting outlets in northern France, and a total of five branches in Texas, Florida and Georgia in the United States,” says Albert Manifold, CRH chief executive.

In September, the group’s 26% associate in China, Yatai Group Building Materials, completed the acquisition of Zhongbei Cement Company for €46 million while the Americas Materials Division completed three bolt-on acquisitions worth €33 million in the second half of 2013, adding incremental sales of €21 million.

In July, the group acquired selected assets of 725 Lafarge in the Western Slopes region of western Colorado, USA and other acquisitions were the Mississippi assets of Rogers Group and selected assets of Turner Gravel in November.

On the distribution side three transactions worth €12 million were completed. In France the group’s General Builders Merchants business acquired four Wolseley locations in Bayeaux, Fecamp, Pont & Marais and Abbeville, increasing its network in Normandy to 19 locations and adding incremental sales of €11 million, and in the United States in September it acquired certain assets of JEH Company, comprising a single-branch roofing distributor located in north-west Houston, establishing its first dedicated exterior products location in the region. In October, it acquired the assets of Fogleman Builders Supply, a four-branch distributor of gypsum wallboard, metal studs and roofing products. Operating three branches along the north-east coast of Florida and one location in southern Georgia the bolt-on improves the division’s service network and product offering across northern Florida and offers operational synergies with its existing locations in the state. These two transactions add incremental sales of €30 million