Lafarge strengthen market presence in Brazil
LAFARGE have sold their 17.28% shareholding in Cimpor to Votorantim Cimentos SA, Brazil’s biggest cement producer. Under the deal, Lafarge will take ownership of certain assets held by Votorantim, establishing new positions in fast-growing regional markets in the north east and central-west areas of the country, while reinforcing their presence around Rio de Janeiro.
Lafarge already has four cement plants and a grinding station in Brazil. With these new assets, the company becomes one of the country’s top three cement operators in a buoyant market averaging 5% annual growth.
The acquisition, leveraged by Lafarge’s synergies with existing positions and market growth, will have a positive impact on net earnings per share as of 2010, and it should increase the company’s EBITDA in Brazil by €85 million in 2011 and by more than €100 million in 2012.
Brazilian competition authorities have been notified of the latest phase of transaction between Lafarge and Votorantim.
Lafarge already has four cement plants and a grinding station in Brazil. With these new assets, the company becomes one of the country’s top three cement operators in a buoyant market averaging 5% annual growth.
The acquisition, leveraged by Lafarge’s synergies with existing positions and market growth, will have a positive impact on net earnings per share as of 2010, and it should increase the company’s EBITDA in Brazil by €85 million in 2011 and by more than €100 million in 2012.
Brazilian competition authorities have been notified of the latest phase of transaction between Lafarge and Votorantim.
