Full Breakdown
Suit-Kote Merger Faces Antitrust Review, Leads to Facility Divestitures and Investment Commitments
By Drooid · · How we work
Core Event
Colas, the Paris-based road-construction subsidiary of the Bouygues Group, completed an August purchase of all outstanding shares of Suit-Kote, a Cortland-based producer of asphalt emulsions and pavement-preservation services. The acquisition would give Colas control over the supply of asphalt emulsions to Pennsylvania and expand its presence in the northeastern United States. In response, the attorneys general of New York and Pennsylvania moved to block the merger under Section 7 of the federal Clayton Act, prompting the companies to agree to divest four facilities and to fund upgrades at two sites.
Background & Context
Suit-Kote operates a plant in Jamestown and supplies liquid asphalt, emulsion mixes, and pavement-preservation services across multiple northeastern states. The firm employs more than 750 workers and generates roughly $500 million in annual revenue. Colas, with a 60-year North-American history, employs about 13,500 people and derived 28 % of its global revenue from the region at the end of 2024, making the United States its second-largest market after France. The merger would combine two of the leading producers of asphalt emulsions in the region, raising concerns about market concentration in an already highly concentrated sector.
Official Statements & Responses
“This is a very important action taken by my Antitrust Team that will ensure a fair marketplace is maintained for these products and services,” — Attorney General Sunday
New York Attorney General Letitia James added, “No one should be forced to pay unfair prices for safe, well-maintained roads.” “No one should be forced to pay unfair prices for safe, well-maintained roads,” — New York Attorney General, pennsylvania attorney
“Suit-Kote’s regional roots, its expertise in bitumen processing and its model combining production, logistics and implementation will provide lasting support for our development in the United States” — John Harrington, Colas executive vice president for the United States
Data & Statistics
- Divestiture: three Suit-Kote facilities in New York (Belmont, Buffalo, Jamestown) and one Colas facility in Bloomsburg, Pennsylvania.
- Investment commitments: up to $6.5 million for a new emulsion mill and storage at Bloomsburg; up to $3.5 million for pavement-preservation equipment at Belmont.
- Market impact: the combined entity would control a significant share of asphalt-emulsion supply to Pennsylvania state agencies and municipal road-maintenance programs.
These measures are intended to preserve competition, maintain fair pricing for road-maintenance projects, and allow the merger to proceed under regulatory oversight.