Holcim sell interests in Panama and Caribbean
FOLLOWING the recent nationalization of Holcim Venezuela, the Swiss cement group has said the long-term economics of supplying clinker and cement to grinding stations and terminals in Panama and the Caribbean is no longer viable.
As a result, the company has sold its shareholdings in Panama, the Dominican Republic and Haiti, as well as terminals in the Caribbean, to its long-standing joint-venture partner Argos, the Columbian-based building materials group, for US$157 million.
Argos, the largest cement producers in Columbia, are said to have sufficient export capacity in the region.
Holcim’s divestments include a Panamanian company with one grinding station and operations in aggregates and ready-mixed concrete, and a Dominican grinding station operator. In addition, the company has sold its 100% holding in a company with cement import terminals on four islands in the Caribbean and its minority holding in a grinding station on Haiti.
In 2008, these interests in total contributed US$98 million to Holcim Group’s net sales of US$23.2 billion.
Meanwhile, Holcim are continuing with arbitration proceedings in which they are seeking full compensation for the expropriation of Holcim Venezuela by the Venezuelan Government. The company says it has not yet received an offer that is acceptable from a legal or financial standpoint.