Granite Construction, one of the largest U.S.-based civil contractors, has expanded its operations in Mississippi and California through two acquisitions valued at $710 million.
Mississippi-based Warren Paving operates one aggregate quarry, one sand and gravel operation, 11 aggregate yards and functions as a paving and civil contractor. It operates a 168-barge fleet along the Mississippi River and expands Granite’s reach into the Gulf Coast of Alabama and Louisiana. The company also operates three asphalt plants in Moss Point, Hattiesburg and Gulfport, Mississippi, and produces over 750,000 tons of asphalt annually.
Granite estimates the acquisition of Warren Paving will generate annual revenue of $275 million.
In an August 7 filing with the Securities and Exchange Commission, Granite listed the sale price for Warren Paving at $540 million.
Granite Construction also acquired Arroyo Grande, California-based civil contractor and asphalt and aggregates provider Papich Construction, including one gravel mine, two quarries and two asphalt plants.
Papich’s material supplies business runs through its sister company Sierra Pacific Materials, which serves sectors including roads, infrastructure, landscaping, commercial developments and energy.
Papich operates in California, Idaho, North Dakota, Nevada, Utah, Virginia and Washington.
Absorbing both companies means Granite’s aggregate reserves and resources will expand by 30% or 440 million tons, and its annual aggregate production will expand by 27% or 5 million tons.
This marks the fifth and sixth companies Granite Construction has acquired in the last two years. Previous acquisitions include Mississippi material provider Dickerson & Bowen in August 2024, Tennessee-based aggregates producers and suppliers Lehman-Roberts Company and Memphis Stone & Gravel Company in December 2023, and Canadian construction aggregate producer Coast Mountain Resources in April 2023.
