Unicon Group acquires US concrete pumping business

With the acquisition of the assets of Concrete Placement, Inc. (CPI) in the USA, Unicon America, Inc. has taken over another major ready-mix concrete pumping business operating in North and South Carolina.

The business acquired will be integrated into Unicon America's existing subsidiary, Carolina Concrete Pumping, Inc. (CCP), making it North and South Carolina's largest concrete pumping operation with an annual turnover of some DKK 125m.

Unicon Group entered the American concrete pumping market in September 1998 by acquiring CCP, one of America' largest concrete pumping businesses. In the USA, ready-mix concrete pumping is predominantly run by companies that are independent of the concrete supplier. In Denmark, on the other hand, this type of service has always been a natural part of Unicon's activities and the company's concrete pumping know-how combined with the experience gained by the American subsidiary enables a higher level of customer service in the ready-mix concrete market.

Only about 25 per cent of all ready-mix concrete supplied in the USA is pumped, but this percentage is expected to rise in the coming years. Having acquired CPI, Unicon America is thus further strengthening its overall market position, achieving major synergies in the form of better utilisation of CCP's fleet of 75 concrete pumps and a reduction in combined overheads.

The acquisition of CPI will increase Unicon Group's total annual turnover in the USA to more than DKK 1bn based on a workforce of some 775 people.

Unicon does not expect higher earnings this year as a result of taking over CPI, as the integration of the new subisidary into the Unicon Group will entail a number of non-recurring costs.

FLS Industries A/S
Corporate Public Relations