Cemex advance US growth strategy
Company enters into joint-venture agreement with Couch Aggregates and Premier Holdings
AS part of an ongoing strategy to accelerate growth in the US and expand their aggregates business, CEMEX have announced a joint-venture agreement with sand and gravel suppliers Couch Aggregates and marine bulk product distributors Premier Holdings.
Cemex say the joint venture will strengthen their aggregate reserves with the production, distribution, and sale of sand, gravel, and limestone in the Mid-South, increasing their presence and providing better and faster service to this growing region.
‘This joint venture will create significant opportunities for both parties by utilizing vertical integration and leveraging each other’s capabilities for growth,’ said Cemex US president Jaime Muguiro. ‘We remain committed to increasing our capacity to serve the US market with more sustainable and innovative solutions.’
Couch Aggregates, long-time strategic partners of Cemex US, are one of the major players in the aggregate materials industry in the south-eastern US, serving various markets with construction materials such as sand, gravel, and crushed stone, whilst Premier Holdings strategically operate Gulf Coast marine terminals, facilitating the distribution of value-added heavy building materials to wider markets.
Since in 2020, Cemex have focused on rebalancing their portfolio towards the US, increasing its percentage of EBITDA contribution from 24% to 29%. The company intends to increase this number to 40% in the medium term by increasing the growth capex and investing divestment proceeds to the region.
