Saving costs on the road out of recession.
Heavyside firm to sell US unit for £32m
Published: 24 November, 2010
DUBLIN: CRH is to sell one of its US businesses for £32m.
The Irish company said today that it has agreed to sell Texas-based Ivy Steel and Wire to rival Insteel Industries for $51m.
Ivy makes steel and wire reinforcements for concrete products and had sales last year of $104m.
CRH acquired the operation when it bought MMI Inc in April 2006.
On Friday CRH agreed to sell its European insulation business to Cavan-based Kingspan for 120m euros.
Kingspan said the integration of CRH's insulation unit would "produce efficiencies and cost savings" for the Cavan group.
"While recognising the current weakness in many markets, this acquisition presents Kingspan with a unique opportunity to establish longer-term market leading positions in western Europe," the company said.
Last week Kingspan said it expected profits to be in line with or better than last year after an increase in sales in the third quarter despite challenging market conditions.
It reported revenues up 15% in the third quarter of the year and overall sales for the nine months to 30 September, up 6% on the same period last year at 865m euros.
Kingspan said the Irish market remained weak. Trade in Europe continued to improve through the year while Britain was solid.