By Kit Norton
Shares of Arcosa rose on Monday after CRH announced it is acquiring the company for $8.5 billion in an all-cash transaction.
Arcosa stock advanced 7.3% to $145.71 in premarket trading on Monday. Shares of CRH were not yet active on Monday. CRH stock closed up 1.7% to $111.24 on Friday.
CRH, one of the largest U.S. construction and construction materials companies, said Monday it has agreed to acquire Arcosa for $150 a share, which represents a 25% premium to Arcosa stock's 60-day trading volume-weighted average price as of June 18. The $150 a share valuation is also 10% higher than Arcosa stock's closing price from Friday.
The deal is expected to close in the first quarter of 2027.
Arcosa, based in Texas, has a critical infrastructure business that focuses on the energy transmission market. Energy transmission has been gaining traction among investors due to the need to modernize the U.S. grid with the ever growing demand for artificial intelligence, energy, and data centers.
"As demand for U.S. energy and utility infrastructure solutions accelerates, this transaction places CRH at the forefront of an immense growth opportunity and demonstrates our ongoing commitment to building market-leading positions through disciplined capital allocation," CRH CEO Jim Mintern said in the media release Monday.
Write to Kit Norton at kit.norton@barrons.com
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(END) Dow Jones Newswires
June 22, 2026 07:59 ET (11:59 GMT)
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