Summit Materials, an acquisition platform in the building materials market, has made two acquisitions: Kilgore Paving and Maintenance LLC, an asphalt production and paving company, and the aggregates, ready-mix concrete and construction assets of Harper Companies. No financial terms were disclosed for either deal.
Summit was formed last fall by The Blackstone Group, Silverhawk Capital Partners and former BHP Billiton CEO Charles Goodyear. It has up to $780 million in capital commitments.
Summit Materials, LLC (Summit), a building materials company, today announced that it has concluded the acquisitions of Kilgore Paving and Maintenance, LLC, an asphalt production and paving company, and the aggregates, ready-mix concrete and construction assets of Harper Companies. Both businesses, which are based in Salt Lake City, Utah, have merged to form Harper-Kilgore, LLC, an integrated materials and construction company. Jason Kilgore, the former owner of Kilgore Paving and Maintenance, LLC will run Harper-Kilgore, LLC post-closing with support from a strong management team across the combined operations.
Tom Hill, CEO of Summit stated, “We are very pleased to form our third regional platform in Salt Lake City, Utah through these acquisitions. Utah is an attractive business environment and we are delighted to establish a position in this market. Harper-Kilgore comprises many skilled and experienced employees and we would like to welcome them all into the Summit group of companies.”
Jason Kilgore remarked, “This marks a significant and exciting development for Harper and Kilgore. The two companies complement each other very well and the combined employee group brings many skills and synergies to the new Harper-Kilgore company. We look forward to building upon our existing strengths to further improve our products and services for our customers and community.”
About Summit Materials
Summit Materials was formed in 2009 to develop a leading business in the aggregates and heavy-side building materials sector through strategic acquisitions. Summit Materials was founded by its CEO Tom Hill and a group of investors that include members of its management team, Blackstone Capital Partners V L.P., Silverhawk Capital Partners and Charles “Chip” Goodyear, former CEO of BHP Billiton. Tom Hill is the former CEO of Oldcastle Inc., the US division of CRH, Plc. Other Summit companies are Hamm, Inc. in Perry, Kansas (acquired September 2009), Hinkle Contracting Company in Paris, Kentucky (February 2010), Cornejo & Sons in Wichita, Kansas (April 2010) and Continental Cement Company in Hannibal, Missouri (May 2010).
About The Blackstone Group
Blackstone (NYSE: BX) is one of the world’s leading investment and advisory firms. Blackstone seeks to create positive economic impact and long-term value for its investors, the companies it invests in, the companies it advises and the broader global economy. The firm accomplishes this through the commitment of its extraordinary people and flexible capital. Blackstone’s alternative asset management businesses include the management of private equity funds, real estate funds, funds of funds, credit-oriented fund and closed-end mutual funds. The Blackstone Group also provides various financial advisory services, including financial and strategic advisory, restructuring and reorganization advisory and fund placement services. Further information is available at www.blackstone.com
About Silverhawk Capital Partners
Silverhawk is an independent investment group established in 2005, to invest in management buyouts and other private equity transactions in the Industrial, Energy/Natural Resources and Business Service sectors. The partners of Silverhawk have invested as a team and operated businesses since 1989. Further information is available at www.silverhawkcapitalpartners.com