Boral has called time in the US after more than 40 years with the sale of its fly ash business to Eco Material Technologies for US$755m, as it focuses on its construction materials business back in Australia.
Chief executive Zlatko Todorcevski says the group’s ongoing divestment programme has now “unlocked substantial value”.
“Together with the sale of the North American Building Products business and our stake in Meridian Brick … we will have divested the North American businesses for more than US$4bn.”
“This is a significant milestone that supports our strategy to refocus on our construction materials business in Australia.”
The net proceeds from the sale will add to surplus capital, with the board to determine the most appropriate way to return surplus capital to shareholders at the relevant time, the company said.
The deal is expected to complete in the 2022 financial year, allowing for the regulatory approval process. It’s also subject to customary conditions precedent and completion adjustments.
