Deals

Boral Buys Headwaters For $1.8 Billion in Infrastructure Bet

  • Acquisition will more than double Boral’s U.S. business
  • Boral plans A$2.05 billion share sale to help fund deal
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Australia’s Boral Ltd. agreed to buy U.S. building materials company Headwaters Inc. for $1.8 billion in cash as it seeks to benefit from increased infrastructure spending promised by President-elect Donald Trump.

Boral will pay $24.25 per share, according to a statement Monday -- 21 percent more than Headwater’s closing price on Friday. It plans to sell A$2.05 billion ($1.5 billion) of shares at A$4.80 each, a 22 percent discount to the last closing price, to help fund the deal, with the balance coming from existing cash and debt.