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Revealed: Breedon Group confirms BMC Enterprises acquisition

Breedon Group PLC has confirmed its acquisition of BMC Enterprises Inc. in a multi-million deal, which expands Breedon’s presence in the United States. 

Breedon Group confirmed the deal is worth $300 million US ($457 million AUD) and will enhance its existing presence in the region.  

“The acquisition of BMC represents a compelling opportunity for Breedon to launch our third platform in the USA,” Breedon Group chief executive officer Rob Wood said. 

“BMC has an excellent performance track record over a sustained period and is positioned in an attractive market for future growth.”  

BMC is a supplier of ready-mixed concrete, aggregates and building products headquartered in St Louis, Missouri.  In the 12 months ended 31 October 2023, BMC recorded unaudited Revenue of US$178.9m and unaudited adjusted EBITDA of US$35.5m2.

BMC has over 400 million tonnes3 of reserves and resources with an experienced management team which will remain with the business as part of the deal.  

“As a high-quality aggregates and concrete business that has grown at pace, organically and through acquisitions, with a strong management team and deep local knowledge, BMC’s culture and values are fully aligned with the Breedon business model,” Wood said. 

“The acquisition is expected to be earnings enhancing for shareholders while allowing Breedon to maintain a conservative and flexible balance sheet to pay dividends and make further bolt-on acquisitions across each of our platforms as opportunities arise.”  

BMC brings five hard rock quarries, seven sand and gravel sites, 44 ready-mixed concrete plants, and nine building product facilities. The company employs approximately 570 employees and has completed more than 20 bolt-on acquisitions in the past decade. 

BMC was owned by Nathan McKean, and entities closely associated with him. On completion, McKean will transition to a non-executive advisory role for Breedon’s North America business, providing the group with the continued benefit of his significant sector and country experience. 

BMC chief operating officer Andy Arnold will be appointed as chief executive officer when the deal closes. 

“We are delighted to welcome our BMC colleagues to Breedon and look forward to working with them to build Breedon’s presence in the USA,” Wood said. 

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