Supplies firm cements position with €49m deal

Tyrone-based building materials company, Acheson & Glover, is set to double in size following a €49 million deal with Readymix.

Acheson & Glover has agreed to buy the Readymix pre-cast concrete business, which has operations in Ireland and Britain, for €49 million in cash.

The move will bring turnover at Acheson to almost €150 million a year, double the size of its workforce to 800 and give it eight new sites in Ireland and Britain.

The Tyrone company's managing director, Raymond Acheson, said yesterday that the move was designed to exploit a growing trend among building contractors to source as many products as possible from a single supplier. The expansion means that Acheson will have a product range that spans pre-cast concrete, paving, brick and blocks.

Earlier this year the company announced a €10 million-plus investment in its paving manufacturing plant in Toome, Co Antrim, and opened a new British sales centre in Birmingham.

Readymix flagged earlier this year that it was seeking a buyer for the operation, which trades largely under the Finlay Breton banner.

Last year the company had sales of €56 million, and earnings before interest, tax and write-offs of €7.4 million.

Assets were €38 million at the end of June. This included €5 million net owed by trade debtors, which is not part of the sale.

Readymix formed Finlay Breton in 2003 when it bought Breton Roecrete from CRH for €7 million and integrated it with its existing Finlay flooring business.

It has sites throughout Ireland as well as in Glasgow and Somerset . One operation in Naas is not included in the deal.

Acheson & Glover is a privately-held company that is based in Fivemiletown.

Readymix operates as Cemex Ireland since the Irish company took on the Mexican-based multi-national's technology and manufacturing systems last year.

Cemex holds a majority stake in the Irish company, which has a listing on the Dublin Stock Exchange. Readymix shares rose by 7 cent to €1.97 yesterday.