Martin Marietta Materials Inc must divest an Oklahoma quarry and two Texas rail yards in order to proceed with its proposed $2.7 billion acquisition of Texas Industries Inc, the U.S. Department of Justice said on Thursday.Without the divestiture, the proposed acquisition was likely to result in higher prices for purchasers of aggregate in parts of the Dallas metropolitan area because of a dearth of competition, the DOJ said.Aggregate, a crushed stone produced at quarries or mines, is used in a variety of applications, such as road construction, and for the production of ready-to-mix concrete and asphalt.The DOJ's anti-trust division and the state of Texas on Thursday filed a civil lawsuit to block the proposed transaction, and at the same time filed a proposed settlement to resolve competitive concerns.
Martin Marietta Materials, Inc., is the producer of aggregates products (crushed stone, sand, and gravel) for the construction industry, including infrastructure, nonresidential, residential, railroad ballast, agricultural, and chemical grade stone used in environmental applications. Shares of MLM fell by 0.99% or $-1.29/share to $129.64. In the past year, the shares have traded as low as $94.01 and as high as $136.36. On average, 653905 shares of MLM exchange hands on a given day and today's volume is recorded at 27996.
Texas Industries, Inc. is a supplier of construction materials in the southwestern United States. Shares of TXI fell by 0.92% or $-0.84/share to $90.85. In the past year, the shares have traded as low as $53.23 and as high as $95.35. On average, 167200 shares of TXI exchange hands on a given day and today's volume is recorded at 8662.
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