Construction Materials

Combine knowledge of industry best practices with a deep understanding of local markets to build a strong strategy for your business.

Key Trends in the Sector
 

With renewed focus on infrastructure and government spending, the outlook for the construction materials sector remains positive. Since the November elections, FMI’s Construction Materials Index (CMI), a proprietary composite of 17 publicly traded CM companies, has outperformed the broader indexes. As sentiment and stock price are the currencies in which public companies trade, this recent increase has positioned the large public producers to be highly acquisitive. There is also increasing interest in the sector by private equity as well as a number of family-held regional businesses that account for a large number of materials deals each year.

A distinctive feature of the materials industry is that due to the limited transportation radius of most products, the markets are fundamentally local. Vertical integration also varies widely between geographies. To be successful, business plans have to be built on a solid understanding of these dynamics, with intelligent, local-market strategies rolling up into a broader corporate strategy. 

 

How We Help
 

Our team brings deep sector expertise and unparalleled knowledge of local construction materials markets in North America.

  • Strategic Planning and Performance Improvement: FMI’s construction materials team has worked across North America with producers of cement, aggregates, ready-mixed concrete, concrete products, liquid asphalt, hot-mixed asphalt, lime and industrial minerals. From family-owned businesses to multinationals, we bring our wealth of experience to your specific situation to make you a stronger, better managed, more focused and more profitable company. We’ll help you develop a thoughtful strategic plan, complete with a tactical implementation process that ensures your plan doesn’t sit on the shelf and gather dust.

  • Market Research: Whether you need help evaluating a local market for a pending acquisition or are seeking to expand your company’s presence in a particular geographic region, FMI’s materials research team has unparalleled capabilities, combining data and street intel to forecast future demand in a local market, pinpoint and assess key supply-side issues, and identify potential sellers or joint venture partners that can provide a platform entry into a new market or help you grow in an existing one.

  • Feasibility Studies: In today’s restrictive permitting environment, building a new plant or opening a new avenue of distribution requires a significant investment of time and capital. Before making that investment, bring your proposition to FMI. Our experts will study the market while maintaining your confidentiality and give you the vital information you need to make the right decision.

  • Market Perception Surveys: Our surveys and focus interviews of existing and potential customers provide deep insight into how the market perceives your company and your competitors, enabling you to capitalize on your company’s strengths and correct its weaknesses.

  • Succession Planning and Ownership Transition: We can help you navigate the challenging process of transitioning your business to the next generation. If you’re positioning your company for eventual sale to a third party, we can help you build a plan to maximize the exit value.

  • Investment Banking: Our team of expert bankers can help with mergers and acquisitions.

Benefits

  • Gain a thorough understanding of the market before acquiring or starting a greenfield project in a new geography.
  • Learn how your company compares to best practices in the materials industry.
  • Build a solid strategic plan based on a deep understanding of the market.
  • Successfully transition your business to the next generation.

Meet Our Team

Wallace Marshall Partner In his 17 years with FMI, Wallace Marshall has acquired a depth of expertise across a broad… Read More

Our Insights

Contemplating a major strategic move or just looking to take your company to the next level?

Contact our experts to inform your decisions and help you build a great future.