What's Happening?
SunTx Capital Partners, a private equity firm based in Texas, has announced that its portfolio company, Suncrete, will pursue a listing on the New York Stock Exchange through a business combination with Haymaker Acquisition Corp. 4. Suncrete, a ready-mix concrete logistics and distribution platform, operates in Oklahoma and Arkansas and plans to expand throughout the Sunbelt region of the United States. The business combination is expected to close in the first quarter of 2026, resulting in the formation of Suncrete, Inc. The transaction aims to leverage Suncrete's established base of high-quality concrete plants and tech-enabled mixer trucks to capitalize on growth opportunities in the fragmented ready-mix concrete industry.
Why It's Important?
The proposed business combination and subsequent listing on the NYSE is significant as it positions Suncrete to expand its operations in the high-growth Sunbelt region, which is experiencing attractive population, housing, and infrastructure growth. This move could enhance Suncrete's market share in the fragmented ready-mix concrete industry, which is undergoing generational ownership transitions. The transaction is expected to provide Suncrete with a total enterprise value of approximately $972.6 million, supported by cash from Haymaker's trust account and proceeds from a common stock private placement. This strategic partnership with Haymaker could enable Suncrete to execute its growth strategy effectively, benefiting from institutional investor commitments.
What's Next?
The business combination is subject to approval by Haymaker's shareholders and other customary closing conditions. Upon completion, Suncrete plans to expand its footprint in the Sunbelt region through accretive acquisitions, leveraging its scalable and vertically integrated logistics and distribution platform. The company aims to continue its growth by serving infrastructure, commercial, and residential end markets, supported by a balanced approach to organic and acquisitive revenue growth. Suncrete's leadership team is focused on maintaining industry-leading profitability and operational efficiency, which could further enhance shareholder value.
Beyond the Headlines
The transaction highlights the ongoing trend of consolidation in the ready-mix concrete industry, driven by generational ownership transfers and the need for scalable operations. Suncrete's strategy of local market leadership and operational best practices positions it as a trusted partner in resilient construction markets. The partnership with Haymaker provides a strategic advantage, enabling Suncrete to access capital and expertise necessary for executing its acquisition strategy and expanding its market presence.
