Transaction Summary
McColl Partners, LLC acted as financial advisor to Southern Star Concrete, Inc. ("Southern Star") in its $245 million sale to Cementos del Caribe S.A., a subsidiary of Compañia de Cemento Argos S.A. ("Argos"). McColl Partners' sale of Southern Star and its 2004 sale of Ready Mixed Concrete Company mark the two largest transactions involving independent ready mixed concrete companies in the United States.
Southern Star has been owned by management, Texas Growth Fund, and Austin Ventures for more than two years. The acquisition provides Argos with a premier independent producer of ready mixed concrete and a significant opening presence in the industry. The transaction also represents the largest investment by a Colombian company into the United States.
About Southern Star Concrete, Inc.
Southern Star, a portfolio company of Texas Growth Fund and Austin Ventures, is one of the nation's largest independent ready mixed concrete operators. Southern Star serves customers throughout the Dallas, Houston, and Little Rock metropolitan markets with an annual capacity of approximately 5.2 million cubic yards, produced at 46 ready mixed concrete plants, and distributed with a fleet of more than 500 mixer trucks.
About Texas Growth Fund and Austin Ventures
The Texas Growth Fund, managed by TGF Management Corp., is a $577 million private equity fund based in Austin. Texas Growth Fund is focused on providing equity and mezzanine capital to public and private companies across a wide range of industries with operations focused in Texas. With more than $3 billion under management, Austin Ventures provides start-up and growth capital primarily to companies located in Texas or the Southwest.
About Compañia de Cemento Argos S.A.
Argos is the largest cement producer in Colombia with a 51% market share and the fifth leading producer of cement in Latin America. Argos exports approximately three million tons of cement annually, 80% of which is imported into the United States through three ports located in Georgia, North Carolina, and South Carolina.
About McColl Partners, LLC
McColl Partners is an independent investment banking firm specializing in the needs of management and owners of middle-market companies. With significant experience working with private equity groups, entrepreneurs, family-owned businesses, public companies, financial institutions, and divisions of large companies, the firm is dedicated to offering strategic advice and assistance to its clients regarding mergers and acquisitions and private capital raising assignments.
For more information about our Industrials and Building Products Group, please contact Brad Winer at (704) 333-0525. More information about McColl Partners can be found at www.mccollpartners.com.