Key transactions & industry news Weekly Update

Recent M&A Transactions

Metals & Mining

Nov 1, 2024 – Rio Tinto (LSE: RIO) completed its acquisition of a 20.64% interest in New Zealand Aluminium Smelters from Sumitomo Chemical Company (TSE: 4005). New Zealand Aluminium Smelters owns and operates the Tiwai Point aluminum smelter in New Zealand. (Mining Technology)

Oct 29, 2024 – Deeprock Minerals Inc. has entered into a definitive agreement with Allied Critical Metals Corp. for a spin-off and reverse takeover. (Allied Critical Metals)

Oct 28, 2024 – Bluestone Resources Inc. (TSXV: BSR) and Aura Minerals Inc. (TSX: ORA) have entered into a definitive arrangement agreement pursuant to which Aura will acquire Bluestone. (GlobeNewswire)

Transportation & Logistics

Oct 31, 2024 – Siemens AG will sell its Siemens Logistics business to Vanderlande, a company owned by Toyota Industries Corporation. Vanderlande is a leading global partner for future-proof logistic process automation in the warehousing, airports, and parcel sectors. (Siemens)

Oct 29, 2024 – Less-than-truckload carrier Moran Transportation acquired White Cottage, OH-based RMX Freight Systems, which provides LTL and expedited transportation in Ohio, as well as certain locations in bordering Kentucky and West Virginia, operating between 55 and 60 trucks out of three service centers. (FreightWaves)

Oct 29, 2024 – East Coast Towing, a leading provider of light- and heavy-duty towing and recovery services, has acquired John E. Link Trucking, which is a specialized provider of heavy haul and oversized transport services. (PR.com)

Building Products & Materials

Oct 30, 2024 – Meritage Homes (NYSE: MTH), the fifth-largest public homebuilder in the US, has acquired Elliott Homes, a top five Gulf Coast homebuilder with operations in Mississippi, Alabama, and the Florida Panhandle. (GlobeNewswire)

Oct 25, 2024 – Prutch’s Garage Door, a leading provider of custom garage door solutions, acquired Rifle, CO-based Kenny’s Overhead Doors. With this strategic move, Prutch’s adds its fifth location in the state, significantly strengthening its presence in the Aspen and Glenwood Springs areas. (EIN Presswire)

Oct 21, 2024 – Carter Lumber, one of the nation’s largest building materials suppliers, has acquired Townsend Building Supply, a building materials dealer with six locations in Southern Alabama and the Florida Panhandle. (Carter Lumber)

Energy

Oct 31, 2024 – ONEOK, Inc. (NYSE: OKE) completed its acquisition of Medallion Midstream from Global Infrastructure Partners, for a total cash consideration of $2.6 billion. (ONEOK)

Oct 29, 2024 – CECO Environmental Corp. (NASDAQ: CECO) has signed a definitive agreement to acquire Profire Energy, Inc. (NASDAQ: PFIE) for $125 million. (CECO)

Oct 28, 2024 – Enterprise Products Partners L.P. (NYSE: EPD) completed its acquisition of Piñon Midstream, LLC for $950 million. (Enterprise Products Partners)

Others

Oct 30, 2024 – CACI International Inc (NYSE: CACI) completed its $1.3 billion acquisition of Azure Summit Technology, a provider of innovative, high-performance radio frequency (RF) technology and engineering solutions focused on the electromagnetic spectrum. (CACI)

Top News Stories

Metals & Mining

Tariffs on aluminum extrusions dismissed: US ITC’s decision brings reimbursement for importers. The United States International Trade Commission (ITC) denied countervailing and anti-dumping duties on aluminum extrusion imports from 14 countries, including China, India, Mexico, and the United Arab Emirates. The decision ends countervailing and anti-dumping investigations and mandates that all duties previously collected will be refunded to importers. This outcome marks a significant win for American businesses, especially in the construction sector, as the absence of tariffs helps keep costs down for aluminum-dependent products such as windows, doors, and refrigeration systems.

AMAG Austria Metall AG surpasses economic challenges, reports improved EBITDA and market agility. AMAG Group demonstrated remarkable resilience in Q3 2024 despite the ongoing economic challenges in Europe, achieving 8% year-over-year growth in EBITDA. Prices and volume effects are primarily responsible for the growth.

Hydro reports strong Q3 results with 12% revenue growth while navigating a weaker downstream market. Hydro generated ~$4.5 billion in revenue for the third quarter, reflecting a year-on-year increase of 12%. Its adjusted EBITDA grew by 89% through the third quarter, reaching ~$667 million, highlighting the impact of higher alumina and aluminum prices and favorable currency trends in a volatile market, which supported its year-to-date financial growth. On a quarter-on-quarter basis, Hydro’s adjusted EBITDA in Q3 increased by 26%.

Transportation & Logistics

LTL, brokerage woes weigh on ArcBest’s Q3. The asset-based segment, which includes ArcBest’s less-than-truckload subsidiary, ABF Freight, reported a 4.2% y/y revenue decline, as an 11.3% decline in tonnage per day was partially offset by a 7.4% increase in revenue per hundredweight, or yield.

Truck transportation job numbers in October barely budge from a year ago. Seasonally adjusted data for October showed truck transportation employment at 1,546,200 jobs. That is down just 100 jobs from September and 2,000 fewer than where it stood a year ago.

Trinity Industries Q3 earnings: first look. Trinity’s third-quarter revenue declined but operating profit improved. Its total revenue was $799 million for the third quarter, down from $821 million in the year-ago quarter. Its Operating profit totaled $122 million, up from $100 million on improved railcar lease rates and improved efficiencies in the Rail Products Group.

Federal Railroad Administration awards $2.4B in grants to 122 projects. A total of 122 projects in 41 states and the District of Columbia have been named recipients in the Federal Railroad Administration’s Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant program.

Energy

Exxon, Chevron top Q3 profit expectations as US oil output hits record high. The US oil producers Exxon Mobil and Chevron posted better-than-expected third-quarter profits on Friday, outperforming their European rivals. They focused on expanding oil and gas production as their rivals BP and Shell spent heavily on wind, solar and renewables that have yet to pay off. Both US oil firms have meanwhile benefited from acquisitions of smaller oil producers. Still, their surging production could soon face a challenge from uncertain demand, especially in top oil importer China, and the potential for OPEC to lift production curbs as soon as next month.

Others

Hurricanes, strikes seen denting US job growth as Americans prepare to vote. The US job growth slowed gradually in October amid disruptions from hurricanes and strikes by aerospace factory workers, but a steady unemployment rate offered assurance that the labor market remained on solid footing ahead of Tuesday’s election.

About RJM

RJM & Company is a specialized M&A and capital markets advisory investment bank. We provide boards and management teams of public and private companies with independent advice and expertise in a variety of sectors including road, rail and marine transportation, infrastructure, chemicals, energy, metals and mining, manufacturing, building materials, and other coverage areas of the industrial complex. RJM advises clients on all aspects of transactions including timing, structure, and pricing. RJM originates opportunities and helps negotiate and execute transactions already under evaluation.