Traditional criteria to judge such deals don’t apply

Here is a deal with all the red flags of M&A — ambition, leverage, and a jumbo share placing.

Yet the market is spurring on CRH’s €6.5bn purchase of surplus assets from European cement rivals Lafarge and Holcim.

The traditional criteria for judging such deals don’t apply. The transaction is worth 40% of CRH’s prevailing market capitalisation and will absorb €2bn of balance-sheet cash.