Votorantim Cimentos and Caisse de dépôt et placement du Québec (CDPQ), the parent companies of St Marys Cement and McInnis Cement, have completed the transaction to combine cement operations in North America.
After having obtained regulatory approval from authorities in Brazil, Canada and the United States, St. Marys Cement, a wholly owned subsidiary of Votorantim Cimentos, can now commence with the integration process with McInnis Cement.
As part of the transaction, the parties will combine their North American assets in a jointly held entity. Votorantim Cimentos International, the global investments platform of São Paulo-based Votorantim Cimentos, will hold 83% and CDPQ, a McInnis Holding Limited Partnership shareholder, will indirectly hold 17% of the shares. The business combination is expected to significantly strengthen the strategic positioning of the combined operations through increased cement production capacity, operational efficiencies and an enhanced distribution network.
The Votorantim Cimentos assets are operations in Bowmanville and St Marys (Ontario, Canada) and in Detroit and Charlevoix, Mich., and Dixon, Ill., along with an extensive distribution network concentrated in the Great Lakes region.
McInnis Cement assets include its Port-Daniel–Gascons plant in eastern Quebec, plus terminals located in Quebec, Ontario, New Brunswick and Nova Scotia in Canada and the Northeastern region of the United States.