Colombia’s Cementos Argos has acquired a majority stake in Wetvan Overseas, which operates a terminal for the reception, storage and distribution of cement in Puerto Rico. The 60% share in the company was purchased for over US$18 million. The remaining 40% is held by Grupo Vicini, a Dominican-based group with investments throughout Central America and the Caribbean.
The terminal will increase Argos’ cement supply capacity by 250 000 tpy, giving it a 15% market share in Puerto Rico. The acquisition is in line with recent asset purchases and the group’s existing portfolio. It will enhance synergies in key strategic regions in which Argos operates, including the US, Central America, the Caribbean and Colombia.
“With this transaction, we are entering a new market that is closely tied to the US economy, that currently consumes close to 650 000 tons of cement per year and whose growth perspectives are being driven by the latent recovery and the new programs aimed at stimulating investment in Puerto Rico. The acquisition strengthens our position as leader in the region,” commented Jorge Mario Velásquez, CEO of Argos.
Adapted from press release by Louise Fordham
Read the article online at: https://www.worldcement.com/the-americas/01052015/cementos-argos-increases-presence-in-puerto-rico-770/