On April 29, 2025, Astec Industries announced its acquisition of TerraSource Holdings, LLC for $245 million, and completed the transaction on July 1, 2025. Based in Chattanooga, Tennessee, Astec manufactures equipment for the infrastructure, aggregate, and mining industries, including solutions for road building, asphalt, and concrete production.

The acquisition enhances Astec’s market presence and financial profile, offering estimated annual synergies of $10 million by year two and expected EPS accretion from day one. The deal, valued at $245 million on a cash-free, debt-free basis, reflects a net purchase price of $230 million after tax benefits.

Astec expects improved gross profit and EBITDA margins, driven by TerraSource’s high-margin aftermarket services. TerraSource, known for its brands such as Gundlach Crushers, Jeffrey Rader, and Pennsylvania Crusher, specializes in material handling and separation equipment.

McCarthy Tétrault advised Astec, led by Heidi Gordon and Victoria de Luna, with a cross-functional team including experts in business, labor, competition, real property, and executive compensation.