A Divestment Committee was set up by both companies, following the announcement of the planned merger on April 7, with the aim of taking forward the divestment process. It has drawn up the asset disposal list to anticipate potential competition authorities’ requirements.
The two companies are proposing the following disposals:
- Lafarge’s Mannersdorf cement plant (Austria); Lafarge’s assets in Germany and Romania; Holcim’s assets in Serbia, Canada and Mauritius; Holcim’s operating assets in Hungary; and Lafarge Tarmac assets with a possible exception of one cement plant (UK).
- Holcim’s assets in metropolitan France, except for its Altkirch cement plant and aggregates and ready mix sites in the Haut-Rhin market; Lafarge’s assets on Réunion, except for its shareholding in Ciments de Bourbon.
- In the Philippines, the associated companies of Lafarge and Holcim (Lafarge Republic Inc. and Holcim Philippines Inc.) are exploring the combination of their businesses other than LRI’s Bulacan, Norzagaray, and Iligan plants, which are considered to be divested as part of such combination.
- Holcim and Lafarge will file soon with the Brazilian regulator, CADE, and propose a comprehensive and high quality package of divestments.
The future LafargeHolcim group will have a significant and balanced industrial base in Europe – around 20 percent of its revenues – within its overall global footprint, enabling it to take advantage of the European economic recovery.
Both companies will continue to consider whether divestments would be necessary where there might be overlaps or depending on regulatory requirements. These proposed divestments are subject to review and further discussions with the regulatory authorities and to the agreement of their business partners when relevant.