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| Cementos Portland Valderrivas' bid for Cementos Lemona gets the green light The Spanish Securities Market Commission has agreed to authorise Cementos Portland Valderrivas, S.A.'s bid to buy 100% of the shares in Cementos Lemona. The FCC Group's cement manufacturer is offering 32 euros per share. It already holds 30.7205% of Cementos Lemona, so its bid targets the remaining 69.2795%, a total of 7, 759, 304 shares. Cementos Portland Valderrivas has closed an agreement with Corporación Noroeste, S.A.., holder of 19.31% of the shares in Cementos Lemona, under which Corporación Noroeste is committed to accepting the bid. The application for permission to make the bid was filed with the Securities Market Commission on the second of December. José Ignacio Martínez-Ynzenga, Managing Director of Cementos Portland Valderrivas, has stated his satisfaction with "the expeditious way proceedings have gone at the Competition Defence Service and the Securities Market Commission". The bid will be fully financed by a bank loan of 250 million euros facilitated by three financial institutions, BBK (providing 50%), BBVA (25%) and Banco Sabadell (25%). For the Cementos Portland Valderrivas Group, buying Cementos Lemona will enable it to capture a considerable amount of strategic and operational synergy and increase its holdings in Cementos Alfa, which has a factory in Mataporquera, Cantabria, and 80% of whose stock belongs to Cementos Portland Valderrivas, with Cementos Lemona holding 11%. With this transaction, Cementos Portland Valderrivas will have consolidated its position in the cement market in northern Spain and the east coast of the USA. Cementos Portland Valderrivas and Cementos Lemona each hold 50% of CDN USA, a cement manufacturer that has a factory in the American state of Maine, so the operation begun means that 100% of the shares in CDN USA will be coming into the hands of the cement manufacturer controlled by the FCC Group. write your comments about the article :: © 2006 Construction News :: home page |