Rumours are circulating that CRH and Eren Holding are looking to sell their joint venture in Turkey. The two companies hold a 50/50 stake in Denizli Cimento Sanayii TAS and have reportedly appointed JPMorgan Chase to handle the sale. Bloomberg broke the news on 13 August, reporting that companies including Haci Omer Sabanci Holding, Limak Holding and Oyak Cement Group are interested in the unit. Unnamed sources told the newswire that the sale could be finalised by October.
CRH purchased the 50% stake in Denizli Cimento from Eren Holding in 2007. The Turkish cement market has been expanding rapidly in recent years, with current capacity standing at about 77 million t. In July, we reported that Sabanci Holding’s Çimsa had acquired local rival Sançim Bilecik Çimento, as part of its strategic expansion plans. The company has reportedly set aside up to US$700 million to acquire shares in other companies.
Edited from various sources by Katherine Guenioui