Eagle Materials (
) is up 6% at around $46, coming off a day's high of $46.83 after
the company said it has commenced an underwritten public offering
of 3 mln shares of its common stock. Shares were down 3% in
The company will use the net proceeds from the offering,
together with borrowings under its bank credit facility, to fund
its acquisition of certain assets from Lafarge North America Inc.
and certain of its subsidiaries.
EXP will acquire Lafarge's Sugar Creek, Missouri and Tulsa,
Oklahoma cement plants, as well as six distribution terminals, two
aggregates quarries, eight ready-mix concrete plants and a fly ash
The company also entered into a transition sales agreement to
supply certain Lafarge operations with cement for four to five
years, and an agreement with a Lafarge affiliate to supply low-cost
alternative fuels to the acquired operations.
EXP is trading in a 52-week range of $15.87 - $48.10.
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