Building materials firm CRH to buy Ash Grove Cement in $3.5 billion deal

Irish building materials firm CRHPlc said it would buy U.S. cement maker Ash Grove Cement Co in a $3.5 billion deal to expand in North America. Ash Grove said it estimated to be valued in the range of about $449 to $454 per share based on its balance sheet as of June 30. Ash Grove operates cement plants in eight plants in as many U.S. states and owns concrete, aggregates and associated logistics assets across the U.S. midwest. It reported profit before tax of $215 million and gross assets of $2.5 billion for the year ended Dec. 31, CRH said. The proposed transaction, expected to close around year-end, will be financed through existing financial resources, CRH said in a statement. J.P. Morgan Securities LLC is serving as financial adviser to Ash Grove and Skadden, Arps, Meagher & Flom LLP is its legal adviser.