CRH Acquires $2.1B in Assets, Solidifying Industry Leadership.

CRH plc has made significant acquisitions, expanding its geographical presence and materials supplies. The company is positioning itself for substantial growth with durable expectations for infrastructure projects and increasing demand for materials.

CRH plc (NYSE: CRH), a leading provider of building materials solutions, has announced a significant acquisition that will expand its geographical presence and materials supplies. The company has agreed to acquire Eco Material Technologies (Eco Material) for a total consideration of $2.1 billion [1]. The acquisition is expected to close in 2025 and will position CRH as a leading cementitious player in North America with both cement and supplementary cementitious materials (SCMs) capabilities.

Eco Material is a leading supplier of SCMs in North America, including fly ash, pozzolans, synthetic gypsum, and green cement. The company operates a national network of over 125 utility source locations, production facilities, and terminals, serving over 4,000 unique customers across 45 states. Eco Material partners with leading electric utilities to process and recycle approximately seven million tons of fly ash and three million tons of synthetic gypsum annually, with significant additional capacity currently under construction.

The acquisition will further expand CRH’s national distribution network and innovation capabilities, enabling the company to better serve its customers and accelerate growth. Jim Mintern, CRH CEO, stated that the transaction demonstrates CRH’s disciplined approach to capital allocation and its commitment to modernizing North America’s infrastructure [1].

The acquisition is part of CRH’s broader strategy to capitalize on the growth opportunities presented by infrastructure projects funded through the Infrastructure Investment & Jobs Act (IIJA) and increasing demand for materials for reindustrialization and data center construction. McKinsey forecasts that the data center footprint will grow to 156GW in capacity by 2030, a 125GW increase from 2025 to 2030, indicating substantial demand for CRH’s materials [2].

CRH plans to fund the acquisition with cash on hand and does not expect any change in its credit ratings. The company has been heavily engaged in M&A activity, executing 8 bolt-on acquisitions valued at $585 million in Q1’25 alone, with a cumulative net asset value of $246 million and generating $340 million in goodwill [2].

In addition to the acquisition, CRH has been returning value to shareholders through its robust dividend distribution and share repurchases. In Q1’25, the company repurchased roughly $500 million in shares and authorized an additional $300 million for Q2’25. The organization also increased its dividend distribution by 6% in Q’25 to $0.37/share, annualized at $1.48/share with a forward yield of 1.67% [2].

CRH’s financial position is robust, with capital investments historically sitting in the mid-to-high single digits as a percentage of revenue and a substantial debt position of $15.7 billion for a leverage ratio of 1.76x net debt/aEBITDA. The company is forecasted to generate $2.7 billion in free cash flow in eFY25 while investing $2.9 billion [2].

References:

[1] https://www.lumberbluebook.com/2025/07/29/crh-to-acquire-eco-material-technologies-for-2-1b/
[2] https://seekingalpha.com/article/4807806-crh-solidifying-its-industry-leadership-with-2-1b-acquisition