has agreed to sell its North American Fly Ash business for US$755 million (A$1 billion) to Eco Material Technologies. The net proceeds from the sale will add to surplus capital with the Boral board saying it will determine the most appropriate way to return surplus capital to shareholders at an appropriate time.
The transaction completes Boral’s portfolio realignment and strategic focus back on its construction materials business in Australia according to chief executive and managing director Zlatko Todorcevski.
Boral has owned the fly-ash business in the US for more than 40 years.
The transaction is expected to complete in the 2022 financial year, subject to customary conditions precedent and allowing for the regulatory approval process.
Shares in Boral (ASX:BLD)
are trading 2.4 per cent higher at $6.33.