HeidelbergCement to sell stake in Lehigh White
Cement Company in the USA
HeidelbergCement has announced that its subsidiary Lehigh Cement Company LLC has signed an agreement to sell its 51 % position in Lehigh White Cement Company to the minority shareholders Aalborg Cement Company, Inc. and Cemex, Inc. The enterprise value of the transaction amounts to about US$ 140 million. Closing of the transaction is subject to customary conditions and is expected during the first quarter 2018.
“As a niche product with small volumes, the standalone production of white cement does not fit into the strategic focus on the efficiency of HeidelbergCement,” said Dr. Bernd Scheifele, Chairman of the Managing Board of HeidelbergCement. “The disposal is part of our global portfolio review and optimization with the goal of generating additional cash flow in order to support our disciplined growth and increase shareholder returns.”
Lehigh White Cement Company operates two plants in Waco, Texas, and York, Pennsylvania, with a combined annual production capacity of approximately 255 000 t.