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| Cemex bid undervalues Rinker, board says  On Friday 27 October 2006, Cemex S.A.B. de C.V. announced that it intends to make a cash takeover offer for Rinker Group Limited at US$13.00 per share, equivalent to A$17.00 per share. Rinker Chairman John Morschel said the Cemex announcement indicates that the unsolicited, hostile offer will be highly conditional. Rinker's performance of 40% compound annual growth in earnings per share over the past five years, together with strong growth in revenue (19% p.a. compound) and earnings before interest and tax (33% p.a. compound), has made it one of the best performing construction materials companies in the world.Rinker is one of the world's top 10 heavy building materials groups, with operations in aggregates, cement, concrete, asphalt and concrete pipe and products. Market capitalization is around US$10 billion. Rinker has over 13,000 employees in over 780 sites across the US, Australia and China. Around 80% of group revenue comes from the US subsidiary, Rinker Materials Corporation. write your comments about the article :: © 2006 Construction News :: home page |