Holcim buys Cemex's Australia business for $1.62B

[June 15, 2009]  ZURICH, Switzerland (AP) -- Swiss cement maker Holcim AG said Monday it is buying the Australian operations of Mexican rival Cemex SAB de CV for about 2.02 billion Australian dollars ($1.62 billion).

The purchase, which will be financed entirely with equity, includes all of Cemex Australia and a 25-percent stake in Cement Australia. Holcim already has a 50-percent shareholding in Cement Australia.

Holcim also said Monday it will participate in the planned private placement of China's Huaxin Cement, to the value of 1.6 billion yuan ($234 million).

The Holcim board will hold an extraordinary general meeting on July 8 to ask shareholders to approve a capital increase of about 2 billion Swiss francs ($1.84 billion), the company said.

[Associated Press]

Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.