BISMARCK, N.D., June 4, 2018 /PRNewswire/ -- MDU Resources Group,
Inc. (NYSE: MDU) announced today it has acquired Tri-City Paving,
Inc., a general contractor and aggregate, asphalt and ready-mix
concrete supplier headquartered in Little
Falls, Minnesota.
Tri-City 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. Tri-City is an established Central
Minnesota construction company whose service area, strong
aggregate supply and vertically integrated business model make it a
strategic fit for Knife River.
"For 70 years, Tri-City has provided high-quality construction
materials and contracting services to support growth in
Central Minnesota," said
David C. Barney, Knife River president and CEO. "We are excited
to welcome the 150 Tri-City employees to Knife River and are pleased to be expanding
our operations in Minnesota.
Tri-City's service territory in the Little Falls/Brainerd area helps to connect our Central and
Northern Minnesota locations."
In addition to its aggregate reserves and related processing
equipment, Tri-City operates three ready-mix plants, three portable
asphalt plants and a dust-control operation. It will become part of
Knife River's Central Minnesota
Division, which is headquartered in Sauk
Rapids.
"Strategic acquisitions like this one are what built our
construction materials business, and with two deals closed in the
last six weeks, it is good to be in growth mode again at
Knife River," said David L. Goodin, president and CEO of MDU
Resources Group. "We look forward to continued success in
Minnesota and are optimistic about
additional growth opportunities at Knife
River and our other businesses."
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.
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.
Contacts
Financial:
Jason Vollmer, vice president, chief financial
officer and treasurer, 701-530-1755
Media:
Tony Spilde,
senior public relations representative, 701-530-1061
Laura Lueder, manager of
communications and public relations, 701-530-1095
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SOURCE MDU Resources Group, Inc.