Votorantim Cimentos and InterCement (part of the Camargo Corrêa Group) have signed an agreement to undertake a corporate reorganisation of Cimpor. The procedure will give Votorantim control over the Portuguese cement company's assets in seven countries and result in the full separation of Votorantim and InterCement as Cimpor shareholders.
After securing approval in all legal steps foreseen for the reorganisation, Votorantim Cimentos will also go on to operate in Turkey, Morocco, Tunisia, India, China and Spain, adding 15Mta to its global production capacity, which will grow to 57Mta, up from the current 42Mt.
"The agreement represents an important step in Votorantim Cimentos' international growth strategy of enhancing its participation as a global player," remarked Votorantim Cimentos CEO, Walter Schalka.
To Raul Calfat, the managing director of Votorantim Industrial, this international expansion allows the Group to "create value through operating excellence and logistics based on a replicable management system, attracting and developing talent and socioenvironmental responsibility."
The assets Votorantim Cimentos will control include 22 cement plants, 78 concrete plants, 22 aggregate plants and six mortar units located in these different countries. The company will also receive 3670 employees, considering the 2011 base year, have an increase of €778m in net income, and get €152m in EBITDA.
Votorantim Cimentos entered the capital of Cimpor in 2010 aiming to establish a platform to grow in European, Asian and African markets. By adding these assets to its operations, Votorantim Cimentos starts operating on several continents.
