CRH announced June 22 that it has agreed to acquire rival construction aggregates supplier Arcosa Inc. in an all-cash transaction valued at approximately $8.5 billion.

Under the agreement, CRH will acquire 100% of Dallas-based Arcosa for $150 per share, subject to Arcosa stockholder approval, regulatory approvals and customary closing conditions. CRH said the offer represents a 25% premium to Arcosa’s 60-day trading volume-weighted average price as of June 18.

The transaction is expected to close in the first quarter of 2027. CRH said it plans to fund the acquisition with available cash and committed debt financing.

Arcosa provides infrastructure-related materials, products and solutions. Its Construction Products business includes 109 quarries and yards, nine asphalt plants, 19 terminals and approximately 35 million tons of 2025 aggregates shipments. Arcosa’s Engineered Structures business is a top-three manufacturer of critical infrastructure products for the energy transmission market, supported by grid modernization, electrification and data center construction trends.

CRH said the acquisition reinforces its position in U.S. aggregates and expands its exposure to fast-growing U.S. metropolitan statistical areas. The company said the combined business would have more than 265 million tons of annualized aggregates production.

“This strategic acquisition reinforces our position as the #1 infrastructure player in North America and advances our strategy to build an aggregates-led, connected portfolio,” CRH CEO Jim Mintern said in a news release. “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.”

Arcosa President and CEO Antonio Carrillo said the deal reflects Arcosa’s efforts to focus its portfolio on Construction Products and Engineered Structures.

“This transaction is a powerful validation of the work we’ve done in recent years to grow in attractive markets, simplify our portfolio, reduce cyclicality and build a more resilient business focused on Construction Products and Engineered Structures,” Carrillo said.

CRH said it expects the transaction to be accretive to earnings, margin and cash flow in the first 12 months after completion, before one-time transaction costs. The company also expects $175 million in annual run-rate cost synergies by year three.