Displaying items by tag: Acquisition
US: Terex Corporation has completed the sale of its Material Handling and Port Solutions (MHPS) business to Finland’s Konecranes for US$595m and Euro200m in cash and 19.6 million newly issued class B shares representing a 25% interest in Konecranes. The final transaction is subject to post-closing adjustments for cash, debt, working capital, MHPS actual 2016 EBITDA and the closing of the sale of the Stahl CraneSystems business.
“We believe that the Konecranes-MHPS combination represents compelling industrial logic that will deliver significant value to Konecranes’ customers, team members and shareholders, including Terex,” said John L Garrison, Terex president and chief executive officer.
Terex Corporation is a manufacturer of lifting and material processing products and services.
Trinidad & Tobago: The directors of Trinidad Cement have advised shareholders reject an offer by Cemex to take over the company. The cement producer issued a circular to its shareholders in late December 2016 advising them that the offer by Cemex’s subsidiary Sierra Trading was ‘not fair’ from a financial point of view. Cemex released plans in early December 2016 to present an offer and take-over bid to Trinidad Cement’s shareholders that would, if successful, give it control of the company. The value of the offer was placed at US$89m and it expires on 10 January 2016.
Bunting Magnetics to acquire Master Magnets in UK
05 January 2017UK: Bunting Magnetics, a US company specialising in the magnet and magnetic equipment sector, has signed an agreement to acquire Master Magnets, a UK-based manufacturer of magnetic separation equipment. The Redditch-based firm produces magnetic separation, recycling and metal detection equipment to several industries worldwide including the mining, quarrying and aggregate sectors. No value or terms for the deal has been disclosed.
“Master Magnets has deep customer relationships in new markets for us such as mining, quarrying and aggregates. We are especially excited to now be able to offer a large range of ATEX approved electromagnets and mineral separation equipment,” said Simon Ayling, Managing Director of Bunting Magnetics Europe. Ayling will assume operations management responsibility of this new division following the purchase.
Master Magnets was founded in 1978 and currently has 26 employees. The company designs, manufacturers and services a line of industrial magnetic separation equipment including eddy current separators, permanent and electro magnets, including overband magnets, drum magnets and suspension magnets. The company also supplies a range of mineral separation equipment for customers around the world. The company will continue to operate out of its Redditch headquarters in the UK.
Lafarge Surma Cement to buy Holcim Bangladesh
15 December 2016Bangladesh: Lafarge Surma Cement, a joint venture between LafargeHolcim and Cementos Molins, intends to buy a 100% stake in Holcim Bangladesh from LafargeHolcim for US$117m. The transaction is subject to approval by the shareholders of Lafarge Surma as well as other regulatory and customary approvals in Bangladesh. Following the acquisition Lafarge Surma Cement will operate one integrated cement plant and three grinding plants in the country. It will also offer a range of products including Supercrete, Holcim Strong Structure, Holcim Red and Holcim Gold.
Bahrain: The Arab Petroleum Investments Corporation (APICORP), a development bank jointly owned by Organisation of Arab Petroleum Exporting Countries (OPEC) member states, has purchased 30% stake in Falcon Cement. The deal was completed with the GFH Financial Group.
“We are delighted to acquire a 30% stake in FCC, Bahrain’s largest cement producer. We believe this is a high growth sector for Bahrain and the investment assists us in diversifying our investment portfolio. The investment is also a strong signal of APICORP’s commitment to driving economic growth throughout the region,” said Raed Al Rayes, Deputy CE and General Manager of APICORP.
Falcon Cement runs the country’s sole integrated cement plant. It has a production capacity of 1000t/day and this is currently being upgraded to 2400t/day in 2017. Another regional firm, Integrated Capital PJSC, part of the Abu Dhabi Financial Group, bought a 10% stake in Falcon Cement in 2016.
Cemex to take over Trinidad Cement for US$89m
06 December 2016Trinidad and Tobago: Cemex plans to takeover Trinidad Cement by increasing its share in the cement producer through its subsidiary Sierra Trading. It will present an offer and take-over bid to Trinidad Cement’s shareholders, which if successful, will increase its share of the company to 74.9% from the 39.5% that it holds at present. The value of the offer has been placed at US$89m. The offer is reliant on Sierra acquiring at least enough of Trinidad Cement’s shares to give it control. The offer period is expected to close on 10 January 2017.
If the offer is successful, Trinidad Cement will continue operating as previously. Trinidad Cement’s main operations are in Trinidad and Tobago, Jamaica and Barbados. It is the majority shareholder of Caribbean Cement Company.
Elementia completes acquisition Giant Cement
02 December 2016US: Mexico’s Elementia has completed its acquisition of Giant Cement for US$220m from Cementos Portland Valderrivas (CPV). The board of directors has given its final approval for the purchase of the remaining 55% stake of the US cement producer giving it full control of the company. The transaction gives Elementia three cement plants, three limestone quarries, two aggregate quarries and six cement terminals, adding more than 2.8Mt/yr of cement production capacity.
“Today marks a major milestone for Elementia as we successfully enter the US cement market and take another solid step within our inorganic growth strategy. The work of our transition team is already underway to extract the tremendous value we see in Giant,” said Fernando Ruiz Jacques, chief executive officer of Elementia.
Boral to buy Headwaters for US$2.6bn
21 November 2016US: Boral has agreed to buy Headwaters, a manufacturer of building products, for US$2.6bn subject to shareholder and regulatory approval. Headwaters’ Construction Materials division delivers around US$370m/yr of revenue and is one of the largest marketers of fly ash in the US. Boral has described the acquisition as ‘transformative’ as it will significantly boost its US division, Boral USA.
“The businesses of Headwaters are highly complementary with Boral’s existing US operations – in fly ash, roofing, stone and light building products. It’s this strong alignment that means we can deliver substantial value through synergies – ramping up to approximately US$100m/yr of synergies within four years of closing,” said Boral’s chief executive officer and managing director Mike Kane.
Grupo Cementos de Chihuahua completes purchase of Cemex assets in US
21 November 2016US: Grupo Cementos de Chihuahua (GCC) has completed its purchase of a selection of assets from Cemex for US$306m. The assets consist of a cement plant located in Odessa in Texas, two cement distribution terminals located in Amarillo and El Paso in Texas and concrete, aggregates, asphalt and building materials businesses in El Paso, Texas and Las Cruces, New Mexico. The acquisition comprises all facilities, equipment and inventories. The purchase was financed with internal funds and an unsecured loan of US$254m.
“This acquisition represents a significant advance in our strategy of sustainable cement growth in the US, in markets contiguous to those of GCC ́s geographic footprint. With these assets and colleagues joining the company, we will enhance the competitive advantage of our logistics system, expand our product portfolio and optimise our operations by sharing best practices,” said Enrique Escalante, chief executive officer of GCC.
Algerian investors to buy ASEC Algeria for US$60m
31 October 2016Algeria: A group of Algerian investors have agreed a share purchase framework to buy 100% of ASEC Algeria from ASEC Cement and ASEC Cement Djelfa Offshoren for US$60m. ASEC Cement is an Egypt-based producer and supplier of cement and other construction materials. ASEC Cement Djelfa Offshoren is a subsidiary of ASEC Cement, a subsidiary of Qalaa Holdings.