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Builders and building materials

Breedon Aggregates gets clearance to buy Hope

Deal will create the UK's largest independent construction materials group.

Quarrying and building materials group Breedon Aggregates Ltd’s (LON:BREE) acquisition of Hope has been cleared by the Competition and Markets Authority (CMA).

In April, Breedon agreed to address concerns the CMA expressed over a lessening of competition following the acquisition and last week agreed the sale of 14 ready-mixed concrete plants.

Completion of the sales depended on CMA approval and today the regulatory authority said it had accepted Breedon's undertakings.

The acquisition is now expected to complete on 1 August.

Breedon agreed to buy Hope last year for £336mln on a cash-free and debt-free basis.

At that time, Hope had more than 160 operational sites, including the Hope cement works in Derbyshire, five quarries and 152 concrete plants.

Peter Tom, Breedon’s charman, said: "The way is now clear for Hope to join us and create the UK's largest independent construction materials group.

"It will give us a stronger platform for growth, with a broader geographical footprint, increased scale, an improved product mix, greater financial capacity and a team of highly talented people.”

Shares in Breedon were little changed at 72.5p.

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