Key facts
- Martin Marietta Materials is merging with Lhoist North America.
- The deal is valued at $13.5 billion, including debt.
- The transaction involves $7 billion in cash and $6.5 billion in shares.
- The Lhoist family will own approximately 15% of the combined company.
- Martin Marietta's shares were down about 1.5% in premarket trade following the report.
Martin Marietta Materials has agreed to merge with its competitor Lhoist North America in a deal valued at $13.5 billion, including debt, according to a report by The Wall Street Journal. The transaction is set to be financed through a combination of $7 billion in cash and $6.5 billion in shares.
Following the completion of the deal, the Berghmans family, which owns Lhoist, is expected to hold approximately 15% of Martin Marietta. Shares of the Raleigh, North Carolina-based company saw a slight decline of about 1.5% in premarket trading following the news.
This reported merger follows a significant historical event where Lockheed Corporation and Martin Marietta Corporation merged in 1995 to form Lockheed Martin Corporation, a major defense contractor. Additionally, Martin Marietta has been involved in other strategic asset exchanges and acquisitions, such as an agreement with Quikrete Holdings, Inc. for asset exchanges and the acquisition of Premier, and a registered senior notes offering.