January 28, 2014 /FOXBusiness/ — Martin Marietta Materials (MLM) agreed on Tuesday to buy Texas Industries (TXI), a rival provider of construction materials, for $2.06 billion in stock.

The deal will expand Martin Marietta’s presence in Texas and California, where Dallas-based Texas Industries sells cement and other building materials.

Once the deal is completed, Martin Marietta said it will become the largest U.S. producer of construction aggregates, supplying stone, sand and gravel. The company’s network will grow to 400 quarries, mines, distribution yards and plants in 36 states, Canada, the Bahamas and the Caribbean.

“Texas Industries’ aggregates operations are strategically located in high growth markets and fit well into our existing portfolio, and its cement operations will further diversify our product and customer mix,” said Ward Nye, Martin Marietta’s president and CEO.

Nye added that the two construction materials firms have complementary assets and, by combining forces, can leverage an expanded geographic footprint.

This is an excerpt from FOXBusiness as it appeared on January 29, 2014. For updates or to read the current version of this post in its entirety, please click here.

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