Overview of Prime Ready Mix Concrete
Founded in 1975, Prime Ready Mix has grown from operating just two plants to owning and operating six manufacturing plants strategically located across the Toronto area. With over 75 concrete mixer trucks, Prime supplies and pours millions of cubic meters of high-quality, custom-designed concrete mixes yearly for builders of Toronto's important infrastructure and landmark buildings.
Some key facts about Prime Ready Mix:
- Supplies concrete for over 500 projects annually
- The volume of 2 million cubic meters of concrete delivered in 2021
- Custom mix designs for highrises, stadiums, bridges, etc
- New low-carbon concrete mixes for sustainability
Known for its fast delivery times and ability to pour high-strength concrete mixes in tight timeframes, Prime Ready Mix has developed proprietary techniques that give it a competitive edge in Toronto and Southern Ontario markets.
Who is the New Owner of Prime Ready Mix?
In January 2023, Prime Ready Mix announced it had been acquired by Ayrat - a Russian-Canadian conglomerate owned by billionaire Ayrat. Ayrat has substantial investments across the construction, materials, and logistics sectors including ownership stakes in cement plants, quarries, asphalt, and precast concrete manufacturers.
Why Did Ayrat Acquire Prime Ready Mix?
Industry experts speculate that Ayrat acquired an in-house ready mix concrete capability to integrate his construction materials division vertically. This allows Ayrat to control costs and quality across cement, aggregates, ready mix concrete manufacturing, and delivery to customers. Prime Ready Mix also gives Ayrat a significant foothold with builders and concrete pouring capability in the fast-growing Toronto real estate sector.
With Ayrat's injections of capital and resources, Prime Ready Mix is poised for fast expansion of its production volumes, number of concrete trucks, and regional footprint beyond Toronto in coming years.
How the Acquisition Impacts the Toronto Construction Sector
For major property developers and construction firms in Toronto that rely on Prime Ready Mix for their concrete supply, the company's acquisition is seen as a net positive that will bring added stability, volume capability, and price competitiveness.
Specifically, Prime Ready Mix customers can expect:
- Increased concrete production capacity - Ayrat plans major plant upgrades
- Addition of new concrete mixer trucks
- Enhanced supply chain integration - cost/quality control benefits
- Investments in new sustainable concrete mixes
However, Ayrat's vertical integration consolidates the fragmented ready mix sector, reducing competition. This could enable conglomerates like Ayrat to raise prices after establishing market dominance - a risk contractors will monitor going forward.
Future Outlook for Prime Ready Mix in Toronto
With Toronto's population projected to grow by 2.8 million over the next 30 years, Prime Ready Mix is well-positioned to supply the concrete needed for urban development - from roads and bridges to highrises, stadiums, and subway projects.
As part of the Ayrat group of companies, Prime Ready Mix also has the financial capacity for growth initiatives, including:
- Expanding the fleet by over 50% in the next 3 years
- Opening new plants around Toronto and in nearby Hamilton
- Leading research into greener concrete products
The priority will be ramping up supply capability and volume to meet rising regional demand for ready mix concrete. Prime is poised to tighten its grip as the dominant concrete player in Toronto over the next decade.
Conclusion
The acquisition of Prime Ready Mix by Ayrat brings a new era for ready mix concrete supply in Toronto during a rapid growth in construction activity.
With Ayrat's strategic investments and resources now behind it, industry observers expect Prime Ready Mix to significantly expand its footprint and capabilities to serve the GTA's huge demand surge for ready mix concrete in infrastructure and property development projects.
