M&A
confidence high
sentiment positive
materiality 0.80
Arcosa, Inc. (ACA): M&A transaction — Arcosa completes $1.2B Stavola acquisition; aggregates platform expands into NY-NJ MSA
Arcosa, Inc.
- Acquired Stavola for $1.2B cash; LTM revenue $283M, Adjusted EBITDA $100M (35% margin).
- Aggregates contributed 56% of Stavola's LTM EBITDA; tax benefits NPV ~$125M.
- Financing: $600M 6.875% notes due 2032 and $700M Term Loan B due 2031.
- Also sold steel components business (closed Aug 16); Q3 estimated EBITDA loss of $1M-$1.5M.
- Proforma: Construction Products segment now ~2/3 of EBITDA; leverage target 2.0-2.5x within 18 months.