Cemex to Acquire Omega Products International to Expand U.S. Stucco Operations
Cemex has announced that it has entered into a definitive agreement to acquire all assets of Omega Products International (“Omega”), a prominent manufacturer of stucco products serving the western United States. The transaction marks another strategic step in Cemex’s ongoing efforts to strengthen its footprint in high-growth segments of the U.S. construction materials market.
Omega currently generates approximately US$23 million in annual EBITDA, reflecting the strength of its operations, established market presence, and consistent demand for its specialized product offerings. The acquisition is designed to complement Cemex’s existing U.S. business and enhance its position in the broader mortars and performance materials market.
Omega’s Established Market Presence and Product Portfolio
With more than five decades of experience in the industry, Omega has built a strong reputation as a leading stucco manufacturer in the western United States. Over the past 50 years, the company has developed one of the most comprehensive product portfolios in the sector, catering to both residential and commercial construction markets.
Omega operates four strategically located production facilities across California, Nevada, and Colorado. These facilities enable the company to efficiently serve key metropolitan and high-growth regions throughout the western U.S. The geographic footprint of Omega’s operations aligns closely with Cemex’s existing cement, aggregates, and admixture facilities in the region, creating substantial opportunities for operational synergies.
The company’s broad range of stucco and related products supports a variety of construction applications, including exterior finishes and architectural solutions that enhance both durability and aesthetics. Omega’s expertise in stucco systems has made it a trusted partner among contractors, developers, architects, and builders across multiple states.
Strategic Fit with Cemex’s U.S. Growth Strategy
The acquisition directly supports Cemex’s strategic objective of expanding its presence in the United States, one of its most important markets. The U.S. broader mortars segment is currently growing at a faster pace than the overall construction sector, driven by increasing urbanization, residential development, renovation projects, and demand for energy-efficient building solutions.
Stucco plays a key role in improving construction efficiency and sustainability. It contributes to energy savings by enhancing building insulation and thermal performance, while also extending the lifespan of structures. These characteristics align closely with industry trends emphasizing durability, cost efficiency, and environmental responsibility.
Jaime Muguiro, CEO of Cemex, emphasized that the transaction is consistent with the company’s disciplined growth strategy in the U.S. market. He noted that the acquisition provides Cemex with a capital-efficient entry into the stucco segment through a well-established platform with strong strategic overlap. The integration of Omega’s operations is expected to generate significant synergies with Cemex’s existing cement, aggregates, and admixture facilities in the western United States.
Muguiro further highlighted that Omega’s leadership position and specialized product portfolio will accelerate value creation while strengthening relationships with stakeholders throughout the construction ecosystem, including contractors, distributors, and developers.
Growth Opportunities Under New Ownership
Todd Martin, CEO of Omega, expressed enthusiasm about the next phase of growth for the company. He stated that joining Cemex will provide Omega with access to a broader customer base and enhanced operational capabilities, including expanded logistics networks and research and development resources.
Cemex’s established infrastructure and scale are expected to support Omega’s continued market expansion and product innovation. Access to Cemex’s advanced R&D capabilities may also accelerate the development of new and improved stucco systems that meet evolving building standards and sustainability requirements.
Martin also expressed gratitude to the Thompson Family for their leadership and long-term commitment to building Omega into one of the most successful privately held stucco companies in the United States. The transition to Cemex ownership represents a continuation of Omega’s growth trajectory, now supported by the resources and global expertise of a leading international building materials company.
Financial Discipline and Value Creation
From a financial perspective, the transaction meets Cemex’s strict return criteria and free cash flow conversion benchmarks. The company expects the acquisition to achieve a post-synergy multiple below 7x, demonstrating disciplined capital allocation and a focus on long-term shareholder value.
Cemex has consistently emphasized its commitment to investing in high-growth, value-accretive opportunities while maintaining financial discipline. The acquisition of Omega aligns with this approach by targeting a profitable business with strong market fundamentals and clear synergy potential.
By integrating Omega’s operations into its U.S. platform, Cemex aims to optimize supply chains, improve distribution efficiency, and leverage cross-selling opportunities across its product portfolio. These initiatives are expected to enhance overall operational performance and profitability in the region.
Advisory and Transaction Timeline
The transaction was facilitated with the assistance of The JIAN Group, which represented Omega Products International and acted as advisor to the seller throughout the process.
The acquisition is expected to close during the first quarter of 2026, subject to customary closing conditions and regulatory approvals. Upon completion, Omega will become part of Cemex’s U.S. operations, further strengthening the company’s presence in the western United States and reinforcing its commitment to expanding in high-growth performance materials segments.
Reinforcing Commitment to the U.S. Market
Overall, the acquisition of Omega Products International represents a strategic move by Cemex to deepen its exposure to the U.S. construction market, diversify its product portfolio, and capitalize on growth opportunities within the broader mortars and stucco segment.
By combining Omega’s specialized expertise and strong regional footprint with Cemex’s scale, infrastructure, and innovation capabilities, the transaction is positioned to deliver operational efficiencies, accelerated growth, and enhanced value creation. It underscores Cemex’s long-term commitment to disciplined investment, sustainable expansion, and strengthening its leadership in key markets across the United States.
Source Link: https://www.businesswire.com/
