COLAS (EPA:RE) - PR Colas - Acquisition of the Miller and McAsphalt group - August 31 2017 - EV

Transparency directive : regulatory news

31/08/2017 07:30

PRESS RELEASE

                                          Boulogne, August 31, 2017 - 7:30 am

Colas signs an agreement to acquire the Miller and McAsphalt group, a major
road construction player in Ontario and a leader in bitumen distribution in
                                     Canada

* Continuation of the external growth strategy with Colas' most significant

  acquisition in North America

* An opportunity to increase Colas' presence in Ontario and to expand its

  bitumen distribution network across Canada

On 30 August 2017, Colas Canada signed a share purchase agreement in Toronto
for the acquisition of 100% of the equity interest in the Miller and McAsphalt
group.

The Miller and McAsphalt group is a major player in road construction and in
bitumen distribution in Canada, with a particularly strong presence in Ontario.
With a headcount of 3,300, it generates average annual sales of around 1.3
billion(a) Canadian dollars and an average operating margin of 7%(a).

This operation forms part of Colas' long-term strategy to expand its operations
in North America. The North American market presents strong growth prospects
given the major transport infrastructure construction and maintenance needs.

The acquisition of the Miller and McAsphalt group will enable Colas Canada to
expand its geographical coverage by increasing its presence in Ontario and
considerably increasing its bitumen storage capacity across Canada.

Closing is expected to occur in the beginning of 2018. The closing of the
transaction is subject to specific closing conditions, including regulatory
approvals under the Canada Competition Act, the Investment Canada Act and the
Canada Transportation Act.

(a) Average of the last three financial years

The purchase price payable at closing is subject to certain adjustments and is
expected to represent approximately 12 times the average operating profit(a) of
the group. The acquisition will be debt- financed and will not alter Colas'
strong balance sheet.

Hervé Le Bouc, Colas Chairman and CEO, said:

"This important acquisition by Colas reaffirms its continued confidence in the
Canadian economy and is part of its strategy to increase its presence in North
America. Becoming one of the leaders in a competitive and active market will
pave the way for improved know-how and industry innovations."

Louis Gabanna, Colas North America Managing Director, said:

"This acquisition, once closed, will be a great opportunity for two groups of
dedicated employees to merge their knowledge and experience and to continue to
deliver, in a safe manner, exceptional work quality and excellence for overall
customer satisfaction across Canada."

Note: the acquisition of the Miller and McAsphalt group by Colas Canada was
considered by Colas, before its disclosure, as non-public information within
the meaning of the applicable regulations (Article 7.1 of EU Regulation
596/2014, April 16, 2014).

Responsible for notification: Eric Haentjens, General Secretary.

The Colas Group (www.colas.com)
Colas, a subsidiary of the Bouygues Group, is a world leader in the
construction and maintenance of transport infrastructure, aiming to meet the
challenges of mobility, urban development and environmental protection.  With
55,000 employees in more than 50 countries on five continents, the Group
performs some 90,000 projects each year via 800 construction business units
and 2,000 material production units.
In 2016, consolidated revenue at Colas totaled 11.0 billion euros (48% outside
of France). Net profit attributable to the Group amounted to 355 million euros.

                           For further information:
Ms. Delphine Lombard (tel.: +33 1 47 61 76 17) - delphine.lombard@colas.com
Mr. Rémi Colin (tel.: +33 1 47 61 73 94) - remi.colin@colas.com

           Colas, 7 place René Clair, 92100 Boulogne-Billancourt

(a) Average of the last three financial years

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06/11/2023 17:45

COLAS (EPA:RE) - PR Colas - Acquisition of the Miller and McAsphalt group - August 31 2017 - EV

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