Boral to acquire quarry and concrete assets in Queensland

High-quality acquisition helps secure company’s position on Australia’s Sunshine Coast

BORAL Ltd have reached agreement to acquire the quarry and concrete assets of Sunshine Coast Quarries on a cash-free, debt-free basis for a total consideration of A$81.5 million (£54.3 million).

The acquisition, which includes a large-scale quarry at Moy Pocket, a smaller quarry at Wondai and a concrete plant at Gympie, will provide Boral with additional capability to service major infrastructure projects and support projected population growth on Queensland’s Sunshine Coast.

The Moy Pocket quarry is described as an efficient operation with long-term, high-quality reserves that will replace Boral’s existing quarry at Coolum, which is approaching the end of its useful life.

Completion of the deal is subject to clearance from the Australian Competition and Consumer Commission, on terms acceptable to Boral, and the finalization of certain procedural issues. The transaction is expected to be completed in the second half of 2011.

Commenting on the deal, Boral’s chief executive, Mark Selway (pictured), said: ‘The acquisition of Sunshine Coast Quarries represents further investment in our core Australian construction materials business and adds high-quality assets and market positions in attractive growth areas of Queensland.’