SYDNEY: Australia's top construction materials maker Boral Ltd said on Monday it will sell its North American fly ash business for $755 million, marking its exit from the market as it looks to focus on its domestic business.
Boral has been selling its U.S. businesses since last year in a retreat from its global expansion strategy that led to a hefty writedown in 2020.
The sale, to Eco Material Technologies, which is backed by private equity firms One Equity Partners and Quadrant Management, means Boral will have sold its U.S. businesses for more than A$4 billion ($2.80 billion), Chief Executive Zlatko Todorcevski said.
Boral sold its U.S. building products business to Westlake Chemical Corp for $2.15 billion in June. It had said late last year it would sell its stake in U.S.-based Meridian Brick.
It had been exploring a sale of the North American fly ash business since April.
The proceeds from the sale of the fly ash business, expected to complete next year, will be reinvested and the board will determine the most appropriate way to return surplus capital to shareholders later, Boral said. ($1 = 1.4290 Australian dollars)- Reuters