Colas to Sell Asphalt Sites Following Merger Approval
The company must divest four facilities in New York and Pennsylvania to address competition concerns regarding road repair.
Updated on Oct. 20, 2026 in Construction
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Colas Inc. has agreed to sell four asphalt production facilities as a condition of its acquisition of Suit-Kote Corporation. The move is intended to maintain competition for municipal road-repair contracts across New York and Pennsylvania.
Why it matters
Regulators found the merger could have reduced competition and enabled price increases for local government paving projects. The settlement ensures multiple suppliers remain available for public road work in the impacted states.
Colas must market the four facilities for 60 days following the acquisition closing. The company is also required to invest in a mill at the Bloomsburg location, with the construction obligation capped at $3 million.
The players
Colas Inc.
This global construction company specializes in infrastructure development and road-building materials.
Suit-Kote Corporation.
This company is a regional provider of pavement-preservation and road-maintenance services.
New York attorney general's office
This state agency is responsible for enforcing antitrust laws and protecting fair competition within the New York market.
The details
The settlement requires the sale of three former Suit-Kote sites and one Colas site located in Jamestown, Buffalo, Belmont, and Bloomsburg. The New York attorney general's office must approve the final buyer for these locations, which the agreement mandates be marketed within 60 days of the deal closing.
Timeline
Colas signed an agreement to acquire Suit-Kote in August 2025.
The settlement agreement became effective on October 13, 2026.
The New York attorney general announced the settlement on October 19, 2026.
Market Landscape
This forced divestiture mirrors standard antitrust interventions designed to prevent regional monopolies in the construction materials sector. The settlement effectively balances corporate growth with the necessity of maintaining a competitive market for municipal infrastructure contracts.
Local municipalities in New York and Pennsylvania may see steadier pricing for road-repair contracts due to the maintenance of competing asphalt suppliers. Residents should experience no service disruptions as the facilities continue to operate under new ownership.
The takeaway
Antitrust settlements serve to protect public budgets by ensuring government agencies have multiple bidders for essential infrastructure work. Buyers interested in such facilities should monitor official state portals for upcoming solicitations regarding these divested sites.
Further reading
Learn more about industrial oversight and market competition at United States Construction.
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