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Heidelberg Materials to acquire RWG

RWG Holding GmbH

Company focuses on circularity with acquisition of leading recycling company in greater Berlin

HEIDELBERG Materials are to acquire Berlin-based RWG Holding GmbH, subject to approval by the relevant antitrust authorities, for an undisclosed sum. RWG are an integrated provider in the demolition and construction materials recycling sector, and the market leader in the greater-Berlin area.

The acquisition, which will strengthen Heidelberg Materials’ circular materials offering to meet growing demand for sustainable building materials, will allow the company to increasingly prioritize recycled aggregates over primary raw materials and offer ready-mixed concrete with a high recycled content in the greater-Berlin area.

Today, concrete demolition waste is still often disposed of in landfills or used in road construction, failing to match the potential of the material and its costly, energy-intensive production. Heidelberg Materials say they are focused on driving innovative technologies to process concrete demolition waste and upgrade it for use in the construction cycle as a valuable material.

‘With the acquisition of RWG, we are substantially strengthening our activities in the circular economy,’ said Dr Dominik von Achten, chairman of the managing board of Heidelberg Materials. ‘We want to offer circular alternatives for half of our concrete products by 2030. In this regard, the recovery of building materials and concrete recycling make a decisive contribution and are key to achieving our ambitious sustainability and CO2-reduction targets.

‘With their expertise and assets in Germany’s capital, RWG are the ideal company to complement our portfolio in the German market. I am very pleased to welcome RWG’s 250 employees to the Heidelberg Materials family.’

The acquisition, which is expected to be completed in the first quarter of 2023, covers three well-located, modern recycling centres across Berlin and a professional demolition business with an annual revenue of around €50 million, complementing Heidelberg Materials’ existing Berlin footprint.

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