Lafarge announces the sale of its cement and concrete assets in the southeast United States to the Colombia-based conglomerate Cementos Argos for an enterprise value of 760 MUSD.
The cement assets sold include the Harleyville cement plant in South Carolina and the Roberta cement plant in Alabama, a cement grinding station in Atlanta (Georgia), and associated supporting cement terminals. Lafarge is also selling its ready-mix concrete units in this area of the US. The total revenues of these divested businesses were approximately 240 MUSD in 2010.
After completion of the deal, subject to the approval of competition authorities, Lafarge's North America operations will consist of
21 cement and grinding plants with a combined capacity of 19 million tons, as well as significant positions in our other product lines.
Bruno Lafont, Chairman and Chief Executive Officer of Lafarge, said: "North America is an essential pillar for the Group, where we have the ambition to be the undisputed leader in the building materials industry. This transaction creates value for our shareholders while maintaining a strong network of operations for future growth in North America".
Notes to editors
Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 76,000 employees in 78 countries, Lafarge posted sales of Euros 16.2 billion in 2010. Lafarge was ranked 6th in the "Carbon Disclosure Project" and entered the global "Dow Jones Sustainability Index" in 2010 in recognition of its sustainable development actions. With the world's leading building materials research facility, Lafarge places innovation at the heart of its priorities, working for sustainable construction and architectural creativity.
Argos is a producer of cement and ready mix with presence in Colombia, United States and the Caribbean; Argos posted sales of 1.6 billion dollars in 2010. In the cement business, Argos is the fifth largest cement producer in Latin America; it has nine cement plants, five cement grinder units, and five cement receiving and packaging terminals, with a total combined installed capacity of 12.8 million metric tons of cement per year. In the ready mix business, Argos is the fifth largest ready mix producer in the U.S.; it has 220 ready mix plants, with a total combined installed capacity of 10.5 million cubic meters of ready mix per year. Argos' business model is based on customer orientation and sustainable development.