Cemex sells Australian operations to Holcim for £980m

Cemex has sold its Australian division to Holcim for £980m.

The operations involve the production of aggregates, ready-mix concrete and concrete pipe.

The deal sees the transfer of ownership of 249 ready-mix concrete plants, 83 aggregates quarries and 16 concrete pipe plants.

These operations generated a turnover of £920m in 2008 and an operating profit of £150m.

The deal also includes Cemex’s 25% stake in Cement Australia.

Cement Australia has an annual production capacity of 5.1 million tons of cement. Its
assets include four cement plants and one grinding mill.

The Royal Bank of Scotland is one of Cemex’s six financial advisors.

Cemex is hiving off its Australian division as the group’s debt is running at an unmanageable level.