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| Holcim sells stake in Holcim South Africa Holcim has completed the sale of 85 percent of its 54 percent stake in Holcim South Africa to AfriSam Consortium (Pty) Ltd based on an enterprise value of ZAR 16.4 billion. The transaction makes Holcim South Africa the leading black-controlled company in the building materials sector. Holcim maintains a 15 percent stake in Holcim South Africa. Holcim retains a range of pre-emption and investment rights, which cannot be exercised in a way that would compromise the company's BEE credentials, and will continue to provide technical assistance. As a consequence, the South African company will be deconsolidated and henceforth equity accounted. The proceeds of the sale of ZAR 7.5 billion will be used for the further growth of the Holcim Group. Holcim South Africa has a consolidated annual capacity of 4.1 million tonnes of cement. For 2006, the company reported sales of CHF 918 million and an operating profit of CHF 253 million, with a workforce of some 2,000. The company has a 62.5 percent interest in Tanzania-based and listed Tanga Cement Company. Holcim South Africa is also involved in the aggregates and ready-mix concrete businesses. write your comments about the article :: © 2007 Construction News :: home page |