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Lafarge and Holcim announce proposed asset divestments in Brazil

World Cement,

Lafarge and Holcim have announced their proposed divestments in Brazil. This follows a list of planned divestments released in early July, in Europe and elsewhere. The planned asset divestments are aimed at smoothing the way for the completion of the LafargeHolcim merger in anticipation of any potential issues with regulatory bodies. Lafarge and Holcim have presented the following divestment proposal to Brazil’s competition authority, CADE, in the context of pre-filing negotiations.

  • Lafarge’s Matozinhos cement plant.
  • Lafarge’s Arcos Jazida cement plant.
  • Holcim’s Cantagalo cement plant.
  • Lafarge’s Arcos Cidade cement grinding station.
  • Lafarge’s Santa Luzia cement grinding station.
  • Holcim’s Pouso Alegre ready-mix plant.

This is now subject to review and further discussion until a final decision is reached with CADE. The companies note that, ‘The divestment process will be carried out in the framework of the relevant social processes and ongoing dialogue with the employee representatives’ bodies and will be conducted in parallel to discussions with the competition authorities and potential buyers.’

Completion of the divestment process is subject to the closing of the merger deal, which is expected to take place in 1H15.

According to the two cement and building materials giants, ‘Brazil is an important market for the future LafargeHolcim Group and the company will remain committed to the country serving customers from a balanced network in cement, aggregates, and ready-mix concrete.’

Adapted from press release by

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