MDU RESOURCES GROUP, INC. BISMARCK, N.D., Oct. 4, 2018 /PRNewswire/ -- MDU Resources Group, Inc. (NYSE: MDU) announced today it has acquired Sweetman Const. Co., a premier provider of aggregates, asphalt and ready-mix concrete in the Sioux Falls, South Dakota, market.
Sweetman, which does business as Concrete Materials Company, will become part of Knife River Corporation, the construction materials subsidiary of MDU Resources. Financial details of the acquisition were not disclosed. MDU Resources anticipates the acquisition will be accretive to earnings per share.
Sweetman's vertically integrated business is built on a foundation of approximately 55 million tons of aggregate reserves. In addition to being a leading supplier of aggregates in the market, Sweetman's Concrete Materials business operates three asphalt plants and seven ready-mix plants, with a fleet of 65 ready-mix trucks to serve the area. Sweetman also owns a rail line and a rail transloading service that provide material delivery to augment its business in the growing Sioux Falls market.
"We are excited about moving into Sioux Falls, particularly by bringing such a highly regarded, well-run business into our Knife River family," said David L. Goodin, president and CEO of MDU Resources. "Sweetman has been a key player in the area for nearly 90 years. Its team members' relationships and expertise are important as we look to continue to provide great service throughout the region."
Sweetman's team of 260 employees will join Knife River's North Central Region, which operates in Iowa, Minnesota, Nebraska, North Dakota and South Dakota.
"Knife River's success has been built on acquisitions like this one," said David C. Barney, president and CEO of Knife River. "Sioux Falls has a strong and diverse economy. The Sweetman companies have a successful history there, and we look forward to continuing to support construction in Sioux Falls for generations to come."
Forward-Looking Statements
The information in this release includes certain forward-looking statements, within the meaning of Section 21E of the Securities Exchange Act of 1934. Although the company believes its expectations are based on reasonable assumptions, actual results may differ materially. For a discussion of important factors that could cause actual results to differ materially from those expressed in the forward-looking statements, refer to Item 1A – Risk Factors in MDU Resources' most recent Form 10-K and Form 10-Q.
About Knife River
Knife River Corporation mines aggregates and markets crushed stone, sand, gravel and related construction materials, including ready-mix concrete, cement, asphalt, liquid asphalt and other value-added products. It also performs integrated construction services. For more information about Knife River, visit the company's website at www.kniferiver.com. For more information on the Sweetman companies, visit www.concretematerialscompany.com.
About MDU Resources
MDU Resources Group, Inc., a member of the S&P MidCap 400 index and the S&P High-Yield Dividend Aristocrats index, is Building a Strong America® by providing essential products and services through its regulated energy delivery and construction materials and services businesses. For more information about MDU Resources, see the company's website at www.mdu.com or contact the Investor Relations Department at investor@mduresources.com.
Financial Contact:
Jason Vollmer, vice president, chief financial officer and treasurer, 701-530-1755
Media Contacts:
Tony Spilde, Knife River communications, 541-693-5949
Laura Lueder, MDU Resources Group manager of communications and public relations, 701-530-1095
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SOURCE MDU Resources Group, Inc.
