Salem Radio Network News Thursday, October 28, 2021


Exclusive-Brazilian cement makers CSN, Apodi, Mizu, Votorantim, Intercement bid for LafargeHolcim assets -sources

By Tatiana Bautzer and Carolina Mandl

SAO PAULO (Reuters) -Brazilian cement makers CSN Cimentos, a subsidiary of steelmaker CSN SA; Cimentos Mizu; and Cimento Apodi, in which Titan Cement International has a stake, are among the bidders for assets LafargeHolcim Ltd has put up for sale, two people with knowledge of the matter said.

Lafarge, the world’s largest cement maker, expects proceeds of $1 billion to $1.5 billion, the people said on condition of anonymity to disclose private talks.

The three smaller companies are aiming to acquire a large part of Lafarge’s operations in the country which include 10 production plants, the sources said.

Brazil’s largest cement makers, Votorantim Cimentos SA and Intercement Brasil SA, also made offers, but had to bid for parts of the businesses due to antitrust restrictions, the people added.

Votorantim has bid for the producing units in the northeastern region, and Intercement for those in the southeastern states of Rio de Janeiro, Espirito Santo and Minas Gerais, according to the sources. Any acquisition is subject to approval by Brazilian antitrust watchdog CADE.

Intercement declined to comment. LafargeHolcim, Apodi and Mizu did not respond to requests for comments outside business hours on Saturday. Votorantim Cimentos said on Sunday that it is always “attentive to market opportunities” but has not bid for Lafarge assets.

The sale, managed by the investment banking unit of Itau Unibanco Holding SA, will not go through a second round of bids, and Lafarge will negotiate with each bidder, the sources said.

A deal may be announced in August, they added.

(Reporting by Tatiana Bautzer and Carolina Mandl in Sao Paulo; Editing by Richard Chang and Daniel Wallis)


Editorial Cartoons

View More »

Gary Varvel
Tue, Oct 19, 2021