Rocla acquires KSA concrete tie business

Koppers

Rocla Concrete Tie, Inc., manufacturer of prestressed concrete crossties, has acquired KSA Limited Partnership, a joint venture owned by Koppers Inc. and Lehigh Hanson, Inc.

KSA, founded in 1992, manufactures concrete ties, concrete turnout ties, concrete grade crossing ties, as well as other concrete products for the railroad industry. Its customer base extends to Class 1 railroads, as well as to commuter and transit customers primarily in the Eastern United States. It is headquartered and has its manufacturing operation in Portsmouth, Ohio. Rocla says the acquisition will allow it to expand its customer base, as well as its product range.

“We are very excited that this business, led by General Manager Scott Craig, complements Rocla’s strategic initiative of expanding its product solutions to the railroad industry,” said Rocla President and Chief Executive Officer Peter Urquhart. “We also anticipate that the KSA acquisition will provide a platform for further opportunities to grow the business.”

“The sale of our concrete tie business represents part of our previously announced strategy of divesting non-core businesses and reducing leverage,” said Leroy Ball, president and chief executive officer of Koppers. “We have struggled to generate consistent and meaningful profitability from this business since the creation of the joint venture in 1991 and did not see a clear path to changing that pattern in the future. As a result, we elected to monetize the value of the business today by selling it to an industry leader that was better positioned to help it reach its full potential. We remain proud of KSA’s track record within the industry and thankful to KSA’s customers and employees for their support.”