LafargeHolcim announces it has signed an agreement with Siam City Cement Public Company Limited (“SCCC”) for the divestment of its entire 65 percent shareholding in LafargeHolcim Vietnam for an enterprise value of CHF 867 million (on a 100 per cent basis). LafargeHolcim Vietnam operates one integrated plant and four grinding plants with an annual cement grinding capacity of 6.3 million tonnes. The company is also a leading ready-mix concrete producer operating seven plants in Southern Vietnam.
Closing of the transaction in Vietnam is subject to customary regulatory and shareholder approvals, as well as to a right of first refusal of LafargeHolcim’s joint venture partner, and is expected to occur in the fourth quarter of 2016.
With a well-balanced presence in 90 countries and a focus on cement, aggregates and concrete, LafargeHolcim (SIX Swiss Exchange, Euronext Paris: LHN) is the world leader in the building materials industry. The Group has 100,000 employees around the world and combined net sales of CHF 29.5 billion in 2015. LafargeHolcim is the industry benchmark in R&D and serves from the individual homebuilder to the largest and most complex project with the widest range of value-adding products, innovative services and comprehensive building solutions. With a commitment to drive sustainable solutions for better building and infrastructure and to contribute to a higher quality of life, the Group is best positioned to meet the challenges of increasing urbanization.
SCCC is the 2nd largest cement company in Thailand. Established in 1969 and with an operational history of 45 years, it has recently embarked on a strategy of building a regional asset footprint that brings synergy in the wider region, having already established operations in Indonesia, Cambodia and Bangladesh and Sri Lanka. SCCC with a turnover of USD 908 million in 2015 is listed and headquartered in Bangkok, Thailand. SCCC has two core shareholders the Thai Group, Ratanarak and Jardine Group, who both have a long term value creation orientation and have actively invested to ensure growth.