TrueRock Growth Strategy
The key elements of our growth strategy include the following:
Grow Our Geographic Footprint
The Southeastern United States, and the Carolinas in particular, have a favorable economic outlook with strong population growth trends, which we believe will create significant future federal, state and local infrastructure spending. Utilizing our years of experience servicing the Carolinas and by expanding into new markets and developing new plant sites, we believe we are well-positioned to organically grow our geographic footprint and capitalize on the favorable economic outlook in the markets we serve and the adjacent markets we seek to enter.
Leverage Vertical Integration Opportunities
We generate revenue across a variety of related products and services. Our ability to mine crushed stone aggregates, used as raw materials in the production of HMA, lowers our input costs. Importantly, our vertically integrated business model enables us to operate as a single source provider of materials, paving and related services, creating cost, convenience, and reliability advantages for our customers, while at the same time providing significant cross-marketing opportunities among our interrelated businesses. We are focused on identifying new business opportunities and expanding on our past growth.
Capitalize on Increased State and Federal Spending on U.S. Transportation Infrastructure
There is currently an $808.2 billion backlog of projects to repair deteriorating bridges and highways in the United States, including $479.1 billion in critical repair work. As a result of what we believe to be the current poor condition of transportation infrastructure, including roads and bridges, in the markets that we serve, we expect to have consistent opportunities for growth.
Focus on the “Carolina Core”
We believe the Carolina Core has the potential for significant growth and commercial development. The Carolina Core is defined by the assets that we believe make the region a globally competitive market: a potential talent pool of more than two million people, access to 30+ colleges and universities with over 250,000 students, multiple airports, urban research parks, and more.
North Carolina is Home to Several Megasites
Megasites are large land sites where the land is “shovel ready” for immediate business investment. Several companies have announced plans to build multibillion-dollar production facilities along the Carolina Core. In 2022, we were awarded a contract to supply construction aggregates in connection with the Toyota plant located at the Greensboro-Randolph megasite. As a result, we believe we are well positioned to provide our infrastructure services for the resulting growth surrounding these megasites, such as support industries, housing developments, multifamily, commercial, schools, medical care, etc. We anticipate that there will also be additional opportunities for site/highway construction and materials supply, among others.
Quarries and Capabilities for Further Growth
Our Alamance aggregates quarry is 12 miles east of the Greensboro-Randolph megasite and 14 miles north of the Siler City-Chatham megasite. We believe this quarry has the potential to supply aggregates to three to five HMA and ready-mix concrete plants. We also have another crushed stone quarry in the permit and development stage located in Carlisle, SC, which is approximately 60 miles south of the Spartanburg, SC, Charlotte, NC, and Columbia, SC metro areas. We expect to be fully permitted for this facility by the end of Q1 2024 and begin sitework in 2024.