Titan America set to acquire 990,000 st/year Keystone Cement plant

Titan SA's subsidiary Titan America has entered into an agreement to acquire Keystone Cement Company, including its integrated cement plant in Pennsylvania with a clinker production capacity of 990,000 short tons/year, according to the company's Jan. 9 release.

Titan said the plant's location positions it to serve a 6.2-million-st/year addressable market, with exposure to large-scale infrastructure and technology investments, along with transportation modernization programs.

The transaction price is $310 million, or approximately $313/st of current clinker production capacity, while closing is subject to regulatory approval and other customary conditions, the company said.

The company described the facility as operating one of the most efficient cement kilns in Pennsylvania's Lehigh Valley.

"The strategic investment aligns perfectly with Titan America's long-term growth strategy in the economic mega-regions along the East Coast of the US and enables Titan America to strengthen further its existing core materials business in the Mid-Atlantic region while adding complementary capacity in high-growth regions," Bill Zarkalis, President and CEO of Titan America, said.

Titan Group's domestic cement sales in 2024 stood at 17.8 million metric tons, up 2% year over year, despite unfavorable weather in the US persisting for the second half of the year, and a decline in construction activity in Western Europe, according to the company's annual report.

Aggregate sales grew 10% year over year to reach 21.9 million mt in 2024, "driven by substantial demand for infrastructure projects in Greece," the report said.

"This acquisition in the US is consistent with the TITAN Forward 2029 Strategic Priorities, focusing on expanding cement capacity and accelerating inorganic growth in heavy materials, including alternative cementitious materials," Marcel Cobuz, chair of the Group Executive Committee, said.

Cobuz added that the deal complements recent portfolio moves, including acquisitions in the Greater Istanbul market with US export potential, a cement grinding plant in France, aggregates bolt-ons in Greece, a precast joint venture in the Western Balkans, and investment partnerships in pozzolan in Greece and Türkiye as well as fly ash facilities in the UK and India.

Platts, part of S&P Global Energy, assessed cement clinker FOB Turkey at $45/mt Jan. 8, unchanged over the week.