RMD Kwikform Expands Operations into USA with $35M Acquisition

Global formwork, falsework, safety and access provider acquires heavy forming and shoring assets of CMC Construction Services.

RMD Kwikform, the global formwork, falsework, safety and access provider, is pleased to announce that it has reached an agreement to acquire the heavy forming and shoring assets, including related distribution centres, of CMC Construction Services ("CMC"), a division of CMC Steel Fabrications, Inc., which is a subsidiary of Commercial Metals Company. The $35m acquisition enables RMD Kwikform to expand its geographical footprint into the world's largest construction market.

Recent RMD Kwikform projects include the Yas Hotel in Abu Dhabi, which boasts the most innovative and challenging grid-shell shroud support system the world has ever seen. Designed using specially developed 3D software, the heavy-duty Megashor system was used to support 911 node points required for the installation of a landmark steel ladder and glass paneled shroud structure covering The Yas Hotel. When RMD Kwikform Middle East was awarded the contract to support a new 217-metre grid-shell shroud - an expanse of sweeping, curvilinear forms, constructed of steel and 5,096 pivoting diamond-shaped glass panels - the business took on one of the most innovative and exciting structures in the world. CMC has been one of the leading resellers of formwork and shoring solutions in the USA, primarily serving the civil engineering markets in Texas, Colorado and California, and has been a customer of RMD Kwikform since 2004. The acquisition represents an attractive opportunity to gain access to the largest construction market in the world via an existing client base and an established sales force, branch and distribution network.

In addition to acquiring the heavy forming and shoring solutions of the business from CMC, RMD Kwikform has re-employed the majority of the management and staff associated with this business activity. The business will be based in Denver and will operate from distribution centres in Houston, Dallas, Denver and Los Angeles.

Steven Dance, Managing Director of RMD Kwikform, commented, "This acquisition expands our international footprint and provides an attractive growth opportunity at a price that we believe represents excellent value. We are excited by the opportunity to leverage our expertise and experience to generate significant growth in the US over the coming years."