May 2022
Case Study

Granite
Construction

Granite Construction is one of the largest diversified construction and construction materials companies in the United States.

Transaction Terms
Transaction
Accelerated Share Repurchase
Notional Size
$50,000,000
Shares Retired
~3% at inception
Execution
Competitive auction
Date
May 2022
$50MM
Accelerated share
repurchase executed
~3%
Of shares outstanding
retired at inception
1st
Of four HudsonWest
mandates for Granite

Accelerating
capital return

In February 2022, Granite announced the sale of its trenchless business and an increase to its share buyback program.

While GVA had historically conducted share repurchases through open-market activity and 10b5-1 plans, it considered the adoption of an ASR program to signal its capital return commitment to shareholders.

How HudsonWest
delivered results

01
Strategic Evaluation

Working closely with management, HudsonWest evaluated the merits and impacts of different repurchase strategies, as well as potential size, tenor and structural variations.

02
Company-Friendly Documentation

HudsonWest was able to help Granite quickly produce acceptable, yet company-friendly, ASR documentation ensuring the terms protected Granite at every point.

03
Competitive Auction Process

HudsonWest ran a competitive auction process to help GVA achieve efficient and fair pricing in its ASR.

04
Successful Execution

Granite successfully executed on the ASR in May 2022, with approximately 3% of its outstanding shares retired at inception.

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