Why Summit Materials Stock Is Trading Lower Today
Portfolio Pulse from Nabaparna Bhattacharya
Summit Materials, Inc. (NYSE:SUM) announced a combination with Argos North America Corp. (Argos USA) in a cash and stock transaction valued at $3.2 billion. The deal will create the fourth-largest cement platform in the U.S. and accelerate Summit's 'Elevate Summit' strategy. Cementos Argos will receive approximately $1.2 billion in cash and approximately 54.7 million shares of Summit stock. The combined company will continue to operate as Summit Materials and trade on the NYSE under the ticker symbol 'SUM'. Following the announcement, SUM shares are trading lower by 7.92% to $33.15.
September 07, 2023 | 3:45 pm
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Summit Materials' stock is trading lower following the announcement of its combination with Argos USA. The deal, valued at $3.2 billion, will create the fourth-largest cement platform in the U.S.
The stock price of Summit Materials is trading lower following the announcement of its combination with Argos USA. This could be due to investors' concerns about the financial implications of the deal, including the significant cash and stock transaction value, and the potential risks associated with integrating the two companies.
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