Large Vulcan Materials shareholder supports combination with Martin Marietta
The third-largest shareholder of Vulcan Materials Co. and the largest of chief rival Martin Marietta Materials Co. said Friday it backs a combination of the two and will support dissident board candidates unless Vulcan resumes negotiations.
Todd Vencil, an analyst at Birmingham-based Sterne Agee Group who follows both companies, said Southeastern Asset has taken an aggressive line in attempting to get its two investments to take up house together.
"They have a big stake in both companies and obviously feel a combination is best for both of them," Vencil said. "Martin Marietta's bringing it all into the open in the first place was designed to create shareholder pressure in favor of a deal, and it has obviously worked."...