Boral Buys Headwaters

BoralAn Australian company has taken a major interest in President-elect Donald Trump’s campaign commitment to invest in U.S. infrastructure.

Bloomberg and several other media groups confirmed that Boral Ltd. of Australia has purchased Headwaters, a U.S. building materials company for $1.8 billion in cash.

According to a Bloomberg report, Headwaters’s businesses are “highly complementary with Boral’s existing U.S. operations – in fly ash, roofing, stone and light building products,” CEO Mike Kane said in the statement. The deal is expected to deliver savings of $100 million a year within four years, he said.

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The deal, which has an enterprise value of $2.6 billion, is expected to be completed mid-2017. Bloomberg said the deal seeks to benefit from an increased infrastructure spending promised by President-elect Donald Trump, who has pledged a $1 trillion program to rebuild highways, tunnels, bridges and airports.

Read the full story at Bloomberg.

Headwaters confirmed Monday that the transaction is valued at $24.25 per share in cash, representing a value of approximately $2.6 billion.