April 17, 2024
Ameron Pole Products Acquired for $180 Million
Image: Ameron Pole Products
Acquisition propels Texas company into concrete and steel pole markets
Arcosa, Inc., a provider of infrastructure-related products and solutions, has acquired Ameron Pole Products from NOV Inc., in a strategic move to enhance its market presence in the infrastructure sector. The $180 million transaction marks a significant step for Arcosa as it broadens its portfolio in traffic and telecommunication structures and enters the concrete and steel pole lighting market.
Established in 1970, Ameron manufactures a variety of concrete poles, including square, round, octagonal, and decorative concrete poles. Additionally, Ameron produces steel street and roadway lighting poles, bollards, arms and tenons, as well as wood-grain poles and bollards. The company operates four manufacturing facilities across Alabama, California, and Oklahoma, ensuring a robust U.S. presence. In the fiscal year ending December 31, 2023, Ameron reportedly achieved revenues of approximately $94 million with adjusted profits of about $20 million.
Ameron goes to market in the US & Canada through a multi-channel approach that includes commercial and industrial lighting agents. Some agent partners of Ameron include:
- The Lighting Group, Seattle
- Penn Lighting Associates, Philadelphia
- SESCO Lighting, Southeast US
- Clarus Lighting & Controls, Detroit
The acquisition, financed through $160 million in borrowings from Arcosa’s revolving credit facility and cash on hand, is expected to accelerate growth in Arcosa’s Engineered Structures segment. "We are pleased to welcome Ameron and its experienced management team to the Arcosa family," stated Antonio Carrillo, President and CEO of Arcosa. He highlighted that the acquisition "expands our product offerings in traffic and telecom structures and establishes our foothold in the attractive concrete and steel lighting pole market."
Arcosa, a $2.3 billion company headquartered in Dallas, operates through three primary segments: Construction Products, Engineered Structures, and Transportation Products. This acquisition is aligned with the company's disciplined acquisition strategy, aiming to strengthen its position in high-growth markets through attractively-priced, complementary acquisitions.
Arcosa announced on April 9 that the acquisition was complete. The Inside Lighting I-Team has been properly admonished for not reporting this story earlier.
