Bloomberg is reporting that Sberbank PJSC is selling a stake in LafargeHolcim valued at about US$1.5 billion. The move has sent shares in the LafargeHolcim down to their lowest level since 2009.
Sberbank purchased a 6.12% stake in LafargeHolcim in January 2016 from its competitor Eurocement Holding AG as part of a repurchase agreement, making the Russian lender the third-largest stakeholder.
In 2016, the stock of LafargeHolcim has tumbled 26%, erasing more than US$7 billion in market value.
Sberbank and Eurocement signed a cooperation agreement in 2014 to help fund construction of cement manufacturing plants in Russia. The agreement also permitted the two companies to cooperate on a wide range of issues from settlement and cash services to investment banking activities.
Edited from source by Joseph Green. Source: Bloomberg