Global refractories company, RHI, is to offload a number of non-core businesses as part of its acquisition of Brazilian rival, Magnesita. The businesses to be sold include its dolomite business in the European Economic Area, as well as two production sites for fused cast refractories used in the glass industry.
The company is also planning to sell a mothballed production site in Aken, Germany, which was shut down in 1H17.
“The global network optimisation of RHI is progressing, said CEO Stefan Borgas. “As planned, we are implementing the individual measures and also optimise our positioning geographically in every way.”
The sale of the European dolomite business includes production sites in Marone, Italy, and Lugones, Spain, and came a condition of European Commission approval of the Magnesite deal. The plants contributed around €50 million to RHI’s revenues in 2016 – around 3% of group revenues.
The deal has to be confirmed by the European Commission and is expected to close in 4Q17.
“With the sale of the two sites, the combination of RHI AG with Magnesita is also still right on schedule,” said Borgas. “We expect the confirmation by the European Commission in the near future.”
Read the article online at: https://www.worldcement.com/europe-cis/21092017/rhi-confirms-a-number-of-divestments/