#USA #Dallas #Haymaker #SunTx Capital #Suncrete

SunTx Capital Partners' Suncrete Plans for NYSE Listing

In a significant development within the private equity landscape, SunTx Capital Partners, a leading firm based in Texas, has announced its portfolio company, Suncrete, will pursue a public listing on the New York Stock Exchange (NYSE). This is made possible through a proposed business combination with Haymaker Acquisition Corp. 4, a special purpose acquisition company (SPAC). The transaction is expected to close by the first quarter of 2026.

SunTx has made substantial investments in sectors like construction materials, manufacturing, and distribution. With the upcoming merger, Suncrete aims to step into the public market, enhancing its business reach and operational capabilities. The newly formed entity post-merger will be named Suncrete, Inc.

Strategic Vision and Industry Positioning

Suncrete operates as a ready-mix concrete logistics and distribution platform, integral to the construction value chain. The company currently has a robust presence in Oklahoma and Arkansas, and it's poised for expansion throughout the Sunbelt region of the United States, where population growth and infrastructure investments are flourishing. This strategic expansion will be supported by a solid base of high-quality concrete plants and an innovative fleet of tech-enabled mixer trucks.

The current landscape of the ready-mix concrete industry presents a compelling growth opportunity. The sector is characterized by fragmentation, with over 3,000 concrete plants existing in the Sunbelt alone. Additionally, many of these operations face a generational ownership transition, providing a ripe opportunity for acquisition and growth.

Growth Strategy

Suncrete is employing a dual strategy combining organic growth with acquisitions to expand its market share rapidly. Its structured model focuses on local markets while leveraging a hub-and-spoke operational approach. This gives the company a competitive edge as it establishes its presence across various segments, including infrastructure, commercial, and residential projects. The business model rests on a robust operational foundation with high cash conversion rates and substantial Adjusted EBITDA margins.

At the heart of Suncrete's growth plans is a pipeline of actionable acquisitions in both existing and new markets within the Sunbelt. The anticipated total enterprise value of PubCo after the merger is approximately $972.6 million. This is bolstered by financial backing from cash reserves in Haymaker’s trust account along with projected proceeds from a recent private placement, totaling $82.5 million raised from institutional investors.

Leadership Voices

Regarding this strategic move, Ned N. Fleming III, Founding Partner of SunTx, expressed his enthusiasm for partnering with Haymaker to elevate Suncrete into the public domain. Fleming stated, “This transaction positions Suncrete as a leading publicly-traded ready-mix concrete platform across Oklahoma and Arkansas, with plans to expand throughout the rapidly growing U.S. Sunbelt region.” The transformative potential of this merger is underscored by Suncrete’s leadership team, which has successfully driven significant business growth since its inception in 2008.

Randall Edgar, CEO of Suncrete, also emphasized the company’s commitment to delivering high-quality service and enhancing shareholder value upon entering the public market. Edgar pointed out that the ready-mix concrete logistics sector is critical, highlighting the company's dedication to customer service as a competitive differentiator. “Our primary mission is to serve our customers, cultivating a culture that prioritizes our people and safety,” he added, asserting that this focus enables Suncrete to leverage scale and operational efficiencies.

Future Outlook

As the construction market continues to reinvent itself with evolving demands, infrastructure growth, and urbanization trends, Suncrete remains well-positioned to capitalize on these changes. Continuing its expansion strategy using a decentralized plant network, the company plans to scale operations while adhering to consistent customer engagement across its markets.

In closing, the merger between SunTx’s Suncrete and Haymaker signifies a strategic alignment that could redefine the ready-mix concrete industry landscape. As the transaction progresses toward its expected completion date, stakeholders eagerly anticipate the growth trajectory that this partnership will unlock, making Suncrete a key player in the forthcoming era of construction services.