Summit Materials Inc. is planning an initial public offering, according to a filing made with the U.S. Securities and Exchange Commission. The company hopes to raise to raise between $376 to $432 million.
The company was formed in 2009 by CEO Tom Hill, and is now one of the largest producers in the U.S. According to its website, "Summit Materials was formed to acquire and grow heavy-side building materials companies in the aggregates, ready-mix concrete, cement, asphalt paving and construction industries. By teaming up with established local businesses, we are committed to creating value, providing access to growth capital, implementing best practices, and offering a safe place to work while striving to exceed our environmental and social responsibilities."
In the company's filing, it noted that "The private construction market is beginning to rebound, which we believe signals the outset of a strong growth period in our industry and end markets."
Summit Materials plans to issue 22.2 million shares, with the underwriters having rights to issue another 3.3 million shares if demand exists. Shares are expected to be priced between $17 and $19 each and trade on the New York Stock Exchange under the ticker SUM. At the middle of that range, the company would have a market value of $1.7 billion, according to Renaissance Capital.
Summit Materials reported $1.2 billion in revenues last year with a net loss of $6.3 million. It employed 3,990 people nationwide at the end of 2014.