Corporate News Blog – Polaris Materials Corp.’s Acquisition Completed by US Concrete

Research Desk Line-up: Tecnoglass Post Earnings Coverage

LONDON, UK / ACCESSWIRE / November 21, 2017 / Pro-Trader Daily takes a look at the latest corporate events and news making the headlines for US Concrete Inc. (NASDAQ: USCR), following which we have published a free report that can be viewed by signing up at http://protraderdaily.com/optin/?symbol=USCR. The Company announced on November 17, 2017, that is has completed the acquisition of Polaris Materials Corp. (“Polaris”). US Concrete had previously announced the acquisition of all outstanding shares of Polaris on September 29, 2017, for approximately C$309 million. The decision comes in after an overwhelming majority of Polaris’ shareholders voted in favor of the acquisition on November 15, 2017, during the special meeting of Polaris’ shareholders. For immediate access to our complimentary reports, including today’s coverage, register for free now at:

http://protraderdaily.com/register/

Discover more of our free reports coverage from other companies within the General Building Materials industry. Pro-TD has currently selected Tecnoglass Inc. (NASDAQ: TGLS) for due-diligence and potential coverage as the Company reported on November 14, 2017, its financial results for Q3 2017 which ended on September 30, 2017. Tune in to our site to register for a free membership, and be among the early birds that get our report on Tecnoglass when we publish it.

At Pro-TD, we make it our mission to bring you news that matter about the stock you follow.Today, our research desk covers a blog story on USC; also brushing onTGLS. Go directly to your stock of interest and access today’s free coverage at:

http://protraderdaily.com/optin/?symbol=USCR

http://protraderdaily.com/optin/?symbol=TGLS

Following the completion of the deal, US Concrete owns 100% outstanding shares of Polaris, through a wholly-owned subsidiary. The completion also leads to the delisting of Polaris common shares’ from the Toronto Stock Exchange which is expected to happen on or around November 20, 2017.

Commenting on the completion, William J. Sandbrook, President, CEO and Vice Chairman of US Concrete, said:

“We are extremely excited to close the acquisition of Polaris. This acquisition will enable us to self-supply a majority of our current Northern California aggregate requirements and to further expand our footprint into other supply-constrained markets along the West Coast, including Southern California.”

US Concrete/ Polaris deal

Polaris had initially signed an agreement to be acquired by Vulcan Materials Co. (NYSE: VMC) on August 25, 2017. Vulcan had offered to pay C$2.79 for each Polaris’ share in cash, valuing the deal at approximately C$252 million. On September 15, 2017, Polaris had announced a special meeting of its shareholders which had been scheduled for October 20, 2017, seeking their approval for the deal with Vulcan.

However, on September 21, 2017, Polaris announced the receipt of a superior proposal via an unsolicited offer from a major US construction materials Company. Later Polaris Board had revealed the superior proposal was from US Concrete. On September 29, 2017, Polaris announced that has signed an agreement to be acquired by US Concrete at the same time terminated its agreement with Vulcan. The Special Committee appointed by the Board had approved the deal after reviewing the proposal and finding it in the best interests of Polaris shareholders.

Polaris paid the termination fees of $10 million to Vulcan as detailed in their agreement. US Concrete had loaned the $10 million to Polaris to pay the termination fee to Vulcan. Polaris also cancelled the shareholders meeting scheduled for October 20, 2017, to vote on the Vulcan deal. Polaris announced that a new special meeting of Polaris’ shareholders to consider the deal with US Concrete would be held once a date is finalized and approved by the Company’s Board.

US Concrete agreed to acquire all outstanding shares of Polaris via its wholly-owned indirect subsidiary. US Concrete agreed to pay C$3.40 in cash for each Polaris’ share. The offer price was at a 22% premium to Vulcan’s purchase price. The deal valued Polaris at approximately C$309 million. Out of the total, approximately C$300.7 million will be paid to Polaris’ shareholders and approximately C$8.4 million to option holders and deferred shareholders. The deal was expected to close in Q4 2017 subject to receiving regulatory, shareholders’ approval as well as approval of the British Columbia Supreme Court and other closing conditions.

Benefits of the acquisition

US Concrete expects the acquisition to deliver meaningful synergies and strengthen the Company’s strategic position in the Californian markets. The deal will allow it to expand its supply capacity to cover most of the ready-mixed concrete needs of the Northern California market. The increased demand will lead to higher production volumes at Polaris’ Orca Quarry. The deal provides US Concrete an entry in to the Southern California markets via the Polaris-operated Long Beach Terminal.

About Polaris Materials Corp.

Vancouver, British Columbia based Polaris is a Canadian Company engaged in the development and operation of construction aggregate quarries in Canada to supply distribution facilities in the United States through coastal shipping. The Company’s operations include 88% ownership in the Orca Sand and Gravel Quarry, a 70% ownership in the Richmond Terminal in California, which receives and distributes the Orca products, and a 70% ownership in the Eagle Rock Quarry Project. Additionally, the Company has certain rights to property in the Port of Long Beach, California which it plans to develop as a receiving terminal to access the Los Angeles area market soon.

About US Concrete Inc.

Euless, Texas-based US Concrete produces and sells ready-mixed concrete, aggregates, and concrete-related products and services for the construction industry in US. The Company provides its products and services from its operating Companies in North and West Texas, Northern California, New Jersey, New York, Washington, D.C. and Oklahoma. The Company has 158 standard ready-mixed concrete plants, 17 volumetric ready-mixed concrete facilities, and 17 producing aggregates facilities.

In FY16, US Concrete sold approximately 8.1 million cubic yards of ready-mixed concrete and approximately 5.6 million tons of aggregates.

Last Close Stock Review

On Monday, November 20, 2017, the stock closed the trading session at $76.85, slightly falling 0.84% from its previous closing price of $77.50. A total volume of 250.34 thousand shares have exchanged hands. US Concrete’s stock price soared0.52% in the last three months, 10.50% in the past six months, and 35.18% in the previous twelve months. Furthermore, since the start of the year, shares of the Company have surged17.33%. The stock is trading at a PE ratio of 102.60. At Monday’s closing price, the stock’s net capitalization stands at $1.27 billion.

Pro-Trader Daily:

Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the “Author”) and is fact checked and reviewed by a third party research service company (the “Reviewer”) represented by a credentialed financial analyst [for further information on analyst credentials, please email contact@protraderdaily.com. Rohit Tuli, a CFA® charter-holder (the “Sponsor”), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you’re a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: contact@protraderdaily.com

Phone number: (917) 341.4653

Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Pro-Trader Daily

ReleaseID: 482533