Granite Constr Inc Stock Price, News & Analysis

Granite (NYSE:GVA) announced that its joint venture, GKJV-II, will undertake a $113 million project to remove and replace the Lafayette Bascule Bridge in Bay City, Michigan. This joint venture with Kraemer North America was awarded the contract by the Michigan Department of Transportation (MDOT) and is funded by the Federal Highway Administration (FHWA) and MDOT. The project, leveraging the team's expertise in movable bridge and marine construction, will be included in Granite's second-quarter CAP. Key works include demolition, cofferdam installation, new substructures, bascule piers, structural steel, machinery, bridge house, and approach spans. With work starting in Fall 2024 and expected completion by Summer 2027, this marks Granite's third bascule bridge project in Bay City. The company aims to enhance infrastructure and community quality of life through this initiative.

Granite (NYSE:GVA) has secured a $16 million contract from the City of Salinas to enhance safety and traffic flow on East Boronda Road. This project includes widening the road, constructing a multi-lane roundabout, adding bioretention facilities, bike lanes, sidewalks, ADA-compliant ramps, and more. The initiative will benefit pedestrians and cyclists, especially those commuting to a nearby elementary school. Funding is provided by the City of Salinas, and the project will be included in Granite’s second-quarter CAP. The project will start in Q3 2024 and complete by Fall 2025, with materials supplied by Granite’s local facilities.

Granite (NYSE:GVA) has been awarded a $25 million contract by the City of Everett to replace the Edgewater Creek Bridge, originally built in 1946. The project, funded by federal grants and local funds, will be included in Granite’s second-quarter CAP. This bridge replacement, featuring engineering challenges due to steep and unstable soils, will require the construction of a trestle for access. The site is located near Granite’s regional office, strengthening ties with the City of Everett. Construction is set to begin in November 2024 and complete by January 2026. Granite’s local facilities will supply the necessary materials.

Granite (NYSE:GVA) has secured a $15 million contract from the California Department of Transportation (Caltrans) to rehabilitate pavement along State Route 41 (SR41) near Stratford, California. The project, funded by Caltrans and included in Granite’s Q2 CAP, involves removing and replacing failed pavement with 49,400 tons of Hot Mix Asphalt (HMA) and adding 19,100 tons of Rubberized Hot Mix Asphalt (RHMA) from Granite’s Coalinga plant. Other tasks include upgrading guard rails, barriers, and bridge approaches. The project is scheduled to start in July 2024 and finish by July 2025.

Granite (NYSE:GVA) has signed a long-term lease with the Port of Woodland to establish a new construction materials facility on a 25-acre site by the Columbia River. The facility will enhance Granite's presence in Southwest Washington, particularly in the Vancouver Portland Metropolitan area. This development aims to support regional infrastructure growth and sustainability goals. The facility, which will start operating in 2025, will produce high-quality asphaltic concrete using up to 40% recycled asphalt pavement, reducing greenhouse gas emissions. This investment is expected to create jobs and stimulate economic activity in the region.

Granite Construction announced the closing of its $373.75 million Convertible Senior Notes offering, including the full exercise of the initial purchasers' option for an additional $48.75 million. The Convertible Notes, bearing 3.25% interest and maturing in 2030, were sold privately under Rule 144A. Net proceeds are estimated at $364.2 million, after expenses. Granite used $46 million for capped call transactions and $57.6 million to repurchase 2024 notes. Remaining funds will repay term loans and support general corporate purposes. The Convertible Notes have a conversion rate of 12.8398 shares per $1,000 principal and a conversion price of $77.88 per share, a 30% premium over the June 6, 2024, stock price. Granite may redeem the Notes post-2027 under specific conditions and has agreements to mitigate potential stock dilution.

Granite (NYSE:GVA) has announced the appointment of Carlos M. Hernandez to its board of directors, effective June 5, 2024. Hernandez, the former CEO of Fluor , brings extensive experience in manufacturing, procurement, engineering, safety, environmental issues, governance, compliance, risk management, and law. His previous roles include chief legal officer and CEO at Fluor, and he currently serves on the boards of PG&E and Steward Health Care System. Hernandez holds a BS in civil engineering from Purdue University and a JD from the University of Miami School of Law. He has received multiple honors, including the Dallas Hispanic Bar Association Corporate Counsel Diversity Award.

Granite Construction announced the pricing of $325 million in 3.25% Convertible Senior Notes due 2030. Initial purchasers have an option to buy an additional $48.75 million. The notes will start accruing interest from December 15, 2024, with semi-annual payments. They can be converted to common stock at a rate of 12.8398 shares per $1,000 principal, equating to a $77.88 per share conversion price, a 30% premium over the June 6, 2024, closing price. The notes mature on June 15, 2030, and can be redeemed by Granite starting June 21, 2027, if specific conditions are met.

Granite plans to use $40 million of the proceeds for capped call transactions and $57.6 million to repurchase 2024 notes. The net proceeds are estimated at $316.6 million, rising to $364.2 million if additional notes are purchased. The remaining funds will be used for loan repayment and general corporate purposes. The capped call transactions aim to reduce dilution and offset cash payments. The offering is through private placement, to qualified institutional buyers under Rule 144A of the Securities Act.

Granite Construction announced a proposed offering of $325 million in convertible senior notes due 2030. The notes are unsecured, bear interest semi-annually, and will mature on June 15, 2030. Granite will pay cash or deliver common stock upon conversion. The company plans to use the proceeds for repurchasing outstanding notes, capped call transactions, repurchasing common stock, repaying term loans, and general corporate purposes. The offering may impact Granite's stock price due to related hedging and repurchase activities.