Arcosa has shifted its focus heavily into the construction materials sector after streamlining its operations following the sale of its barge business.
The company has completed a deal which will see its inland barge business, Arcosa Marine Products Inc, sold to Wynnchurch Capital for $US450 million in cash
Arcosa president and chief executive officer Antonio Carrillo said the deal will help the company expand its core offerings, primarily in construction materials.
“Completion of this transaction is a significant milestone that further reduces complexity and cyclicality, raises our overall margin profile and enhances the long-term resiliency of the company,” he said.
“We will now be fully focused on construction materials and engineered structures, which are both well-positioned to benefit from infrastructure and power market tailwinds in the US market.”
Prior to the deal, Arcosa completed a separate transaction for a Florida-based aggregates company for $US60 million in March.
“We remain positive about our re-investment opportunities and expect to continue prioritising the allocation of capital toward our high growth, high margin businesses,” he said.
