SigmaRoc is buying 16 of CRH’s operating locations across the UK, Ireland, Germany, Czech Republic and Poland. The combined businesses generated sales of €580m last year.
The transaction is structured in three phases, the first of which is expected to complete in early 2024 comprising the CRH’s lime operations in Germany, Czech Republic and Ireland. The UK and Poland deals are expected to complete later in 2024.
The deal is subject to the usual regulatory approvals.
SigmaRoc said that expects the lime market to continue to grow and to be worth €1.9bn in 2031 across its markets, driven by increased demand from the construction and steel industries as well as a move towards greener industrial processes for which lime is a key input.
The UK business being acquired was bought by CRH in 2015 as part of the Lafarge/Tarmac business. Its operations comprise two sites, one in Tunstead (Buxton Lime) and one in Hindlow. It is considered to be a leading player in soil revitalisation. Hindlow and Tunstead quarries will be retained by CRH with material being sold to SigmaRoc under long term supply agreements.
CRH chief executive Albert Manifold said: "The decision to divest at an attractive valuation follows a comprehensive review of the business and demonstrates CRH's active approach to portfolio management. The proceeds from the divestment will provide us with significant additional capital allocation opportunities to deliver further growth and value creation for our shareholders."
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