Holcim get green light for CEMEX West acquisition

Proposed acquisition of CEMEX West in Germany unconditionally cleared by European Commission

HOLCIM have received unconditional clearance by the European Commission for their proposed acquisition of CEMEX West in Germany. The decision follows a detailed Phase II review by the European Commission.

The acquisition in Germany is part of Holcim’s strategic portfolio optimization in Europe that includes a series of transactions together with CEMEX and is separate from the company’s intention to merge with Lafarge.

In the Czech Republic, the proposed acquisition of Holcim Cesko by CEMEX was cleared by the local competition authorities in March this year.

In Spain, CEMEX and Holcim propose to combine their operations in cement, ready-mixed concrete and aggregates, with Holcim holding a shareholding of 25% of the combined entity. Regulatory approval by the European Commission for this transaction is still pending.

Holcim say the CEMEX West decision marks a further milestone towards the optimization of their strategic portfolio in Europe, which was announced last year, allowing the company to create value through an optimized footprint in north-western Germany.

The transaction includes one cement plant, two grinding stations (with a total cement capacity of 2.5 million tonnes), one slag granulator, 22 aggregates locations and 79 ready-mixed concrete plants. These will be combined with Holcim’s existing northern German operations.

Closing of the transaction is expected during the second half of 2014.