Source Credit : Portfolio Prints
Martin Marietta Materials announced on Monday that it has agreed to acquire limestone supplier Lhoist North America in a cash-and-stock transaction valued at approximately $13.5 billion, marking one of the largest deals in the construction materials sector this year as the company seeks to strengthen its position in the fast-growing lime products market.
Despite the strategic significance of the acquisition, shares of the Raleigh, North Carolina-based company fell about 3% in premarket trading following the announcement.
Under the terms of the agreement, Martin Marietta will finance the acquisition with a combination of approximately $7 billion in cash and $6.5 billion in company stock. The company expects the transaction to generate roughly $85 million in annual run-rate cost synergies as operations are integrated.
Chief Executive Officer Ward Nye said the acquisition aligns with the company's long-term growth strategy, noting that demand for high-quality lime products is expected to remain strong for decades. He attributed this outlook to sustained investment in U.S. infrastructure, advanced manufacturing, energy development, and broader industrial expansion, all of which are expected to support long-term consumption of lime and related industrial minerals.
The transaction comes amid a broader wave of consolidation across the U.S. building materials industry, fueled by rising investment in infrastructure, expanding data center construction, growing energy projects, and continued demand for new housing, repairs, and renovations. Companies across the sector have increasingly turned to acquisitions to expand capacity, strengthen supply chains, and secure access to critical raw materials.
The announcement follows another major industry deal last week, when Ireland-based CRH agreed to acquire Arcosa in an all-cash transaction valued at approximately $8.5 billion, highlighting growing confidence in the long-term outlook for U.S. infrastructure, energy, and utility construction.
Upon completion of the transaction, the Berghmans family, which owns the privately held Belgian industrial company Lhoist Group, will become one of Martin Marietta's largest shareholders, holding approximately 15% of the combined company.
The acquisition will significantly expand Martin Marietta's portfolio by adding a network of quarries, production facilities, distribution terminals, and approximately 2 billion tons of limestone reserves located across rapidly growing Sun Belt metropolitan regions. These assets are expected to strengthen the company's geographic footprint and enhance its ability to meet increasing demand in some of the fastest-growing construction markets in North America.
Lhoist North America is a leading producer of high-calcium lime, dolomitic lime, and industrial mineral products used across a wide range of industries, including domestic steel manufacturing, infrastructure development, energy production, and heavy non-residential construction. The acquisition will broaden Martin Marietta's exposure to higher-value industrial minerals while complementing its existing aggregates and cement businesses.
The transaction is expected to close in the second half of 2026, subject to regulatory approvals and customary closing conditions. Once completed, the deal is expected to reinforce Martin Marietta's position as one of North America's leading suppliers of construction materials and industrial minerals, while positioning the company to benefit from long-term growth driven by infrastructure spending, manufacturing investment, and industrial expansion.
