US Federal Trade Commission gives merger clearance for joint venture with Forterra Brick
BORAL Ltd have obtained merger clearance from the US Federal Trade Commission for the previously announced North American bricks joint venture with Forterra Brick. Both parties are now working towards a completion date on or before 30 November 2016.
Paul Samples has been appointed as chief executive officer of the joint venture and will report to the equally represented joint-venture board. Mr Samples has more than 30 years’ experience with Boral in the US brick industry.
Boral Ltd’s chief executive officer and managing director, Mike Kane, said the bricks joint venture would allow its owners to create a more viable long-term brick business that is better positioned to compete through the cycle.
‘We are pleased that the US regulator has granted merger clearance for the North American bricks joint venture to proceed, recognizing that the JV provides the opportunity to create a more efficient and better positioned business to compete in the broader cladding market through the cycle,’ said Mr Kane.
‘This is an important step in delivering Boral’s strategy in North America where we are optimizing our high fixed cost businesses and growing our more variable cost, lighter-weight building products portfolio so that Boral’s business can deliver stronger results through the cycle.’