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RNS Number : 4711H  Breedon Group PLC  09 June 2026

 

9 June 2026

BREEDON GROUP PLC

 

Acquisition of Falling Springs Quarry for US$120 million

 

Premium aggregates bolt-on transaction to grow Breedon's US business

 

Breedon Group plc ("Breedon" or the "Group"), a leading vertically-integrated
construction materials group in Great Britain, Ireland and the United States,
announces that it has completed the acquisition of Falling Springs Quarry
("Falling Springs")(1) for an enterprise value of $120m (£90m(2)) (the
"Transaction").

Falling Springs is a well-invested, highly automated quarry with 185 million
tonnes(3) of limestone reserves strategically located approximately 15 minutes
from downtown St Louis, Missouri. The quarry has an output of over 2.2 million
tonnes per annum and will be integrated with Breedon's existing operations in
the region, enhancing the Group's US platform and unlocking opportunities for
further growth through vertical integration.

The Transaction is expected to be immediately margin and earnings enhancing(4)
and was funded through Breedon's existing Revolving Credit Facility. Following
the Transaction, the Group's pro-forma covenant leverage(5) at 31 December
2025 would have been 2.0x which remains in line with the Group's financial
framework.

The acquisition is in line with Breedon's stated strategy to expand through
disciplined, value-accretive M&A as the Group scales its US business.

 

Rob Wood, Chief Executive Officer of Breedon Group plc, commented:

"The acquisition of Falling Springs Quarry represents an attractive bolt-on
investment which strengthens our US platform with a premium aggregates asset
in an exceptionally strategic location.

The business is well-invested, highly cash generative and extremely
complementary to our existing operations in the St Louis area, supporting our
long-term growth ambitions in the United States."

 

 

Notes:

1.      Falling Springs Quarry is the sole trading asset of Casper Stolle
Quarry & Contracting Co, the legal entity acquired by Breedon as a result
of the Transaction

2.      GBP: USD exchange rate of 1:1.33.

3.      Breedon's best estimate of Falling Springs Quarry's reserves at
the date of this announcement, expressed as metric tonnes.

4.      This statement should not be construed as a profit forecast or
interpreted to mean that the future earnings per share, profits, margins or
cashflows of the Group will necessarily be greater than the historic published
figures.

5.      Pro Forma Covenant Leverage is the Covenant Leverage of the Group
calculated assuming the Transaction had completed on 31 December 2025.
Covenant Leverage is defined as the ratio of Underlying EBITDA to Net Debt,
with both Underlying EBITDA and Net Debt amended to reflect the material items
which are adjusted by the Group and its lenders in determining leverage for
the purpose of assessing covenant compliance.

 

 

 

 

 

 

 ENQUIRIES
 Breedon Group plc                                                           +44 (0) 1332 694010
 Rob Wood, Chief Executive Officer

 James Brotherton, Chief Financial Officer
 Anthony Thorpe, Director of Corporate Development & Investor Relations      +44 (0) 7935 503649

 MHP (Public relations adviser)                                              +44 (0) 7595 461231
 Reg Hoare, Rachel Farrington, Charles
 Hirst
 breedon@mhpgroup.com

 

About Breedon Group plc

Breedon Group plc, a leading vertically-integrated construction materials
group in Great Britain, Ireland and the United States, delivers essential
products to the construction sector. Breedon holds 1.7bn tonnes of mineral
reserves and resources with long reserve life, supplying value-added products
and services, including specialty materials, surfacing and highway maintenance
operations, to a broad range of customers through its extensive local network
of quarries, ready-mixed concrete and asphalt plants.

The Group's two well-invested cement plants are actively engaged in a number
of carbon reduction practices, which include utilising alternative raw
materials and lower carbon fuels. Breedon's 4,800 colleagues embody our
commitment to 'Make a Material Difference' as the Group continues to execute
its strategy to create sustainable value for all stakeholders, delivering
growth through organic improvement and acquisition in the heavyside
construction materials market. Breedon shares (BREE) are traded on the Main
Market of the London Stock Exchange and are a constituent of the FTSE 250
index.

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LEI: 213800DQGNQE3X76WS92

 

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