After months of wrangling, Cemex and Rinker agreed to terms of a deal that creates a concrete producing behemoth in North America. In last year's TCP100 ranking of the largest producers, Cemex was No. 1, Rinker No. 3.

In the deal announced April 9, Cemex raised its offer price to $15.85 per share in cash, a 22% increase over Cemex's original $13 offer last October; the sale totals $15.3 billion.

Rinker's board of directors unanimously agreed to recommend to its shareholders that they accept the offer in the absence of a better proposal.

The combination of Cemex, based in Mexico, and Australia-based Rinker will create one of the world's largest building materials companies, with annual revenue of $23.2 billion and 67,000 employees in more than 50 countries.

With its U.S. headquarters in Houston, Cemex operates in eight southern states, producing ready-mix concrete, precast concrete, concrete pipe, aggregate, architectural and landscaping products, and cement. With 12 plants, it is the largest producer of cement in the United States.

Rinker's U.S. operation, Rinker Materials, is based in West Palm Beach, Fla. With its principal operations in Florida and Arizona, Rinker Materials employs 10,000 people at various operations in 29 other states. In addition to ready-mix concrete, Rinker Materials producers concrete pipe and block.

"This is a good transaction for the stakeholders of both companies," said Lorenzo Zambrano, chairman and CEO of Cemex. "The combination of Cemex and Rinker will create value for shareholders as well as customers, particularly in key growth regions of the United States, through the complementary nature of our operations and best practice sharing between our organizations."

But the announcement did not address whether plants in similar locations will be consolidated, if there will be layoffs, or if Rinker will retain its brand name or be folded into Cemex.

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