Martin Marietta, Quikrete Holdings exchange aggregates assets

Martin Marietta Inc. completed its asset exchange with Quikrete Holdings inc. on Feb. 23.

Under the teams of the deal, Martin Marietta will receive $450 million along with aggregates operations that produce about 20 million tons annually in Virginia, Missouri, Kansas and Vancouver, British Columbia. Martin Marietta says the combined value of these assets is $2.6 billion.

In exchange Quikrete received Martin’s cement plant in Midlothian, Texas, along with related cement terminals, Texas ready-mixed concrete assets and certain nonoperating land. According to Martin Marietta, these assets were valued at $2.8 billion.

Martin Marietta added that the deal marks the capstone of its 2025 strategic operating analysis and review (SOAR) plan.

“This portfolio-enhancing transaction establishes new growth platforms in key SOAR-target markets while further strengthening our differentiated central division footprint,” says Ward Nye, Martin Marietta chair, CEO and president. “Through a tax-efficient exchange of cyclical cement and ready-mixed concrete assets for the largest aggregates acquisition in our company’s history, we are enhancing the durability of our earnings while preserving ample balance sheet capacity to extend our long track record of disciplined strategic plan execution and compelling shareholder value creation.”

Martin Marietta added that the deal expands geographic diversification and reduces cyclical product exposure. The firm updated its guidance to $7.16 billion in revenue, an increase from its initial guidance of $6.89 billion in revenue.

With the addition of Quikrete’s aggregates business, the firm now projects to ship 222 million tons of aggregates in 2026, up from 202 million tons prior to the deal. The firm now operates more than 450 aggregates quarries, mines and yards in

“This transaction accelerates our aggregates-led product strategy and completes a pivotal phase of portfolio transformation, positioning Martin Marietta exceptionally well to pursue core, growth-focused merger and acquisition opportunities as we launch SOAR 2030,” Nye says.