HeidelbergCement to sell calcium silicate unit business

HeidelbergCement has signed an agreement with H+H International A/S and its subsidiary H+H Deutschland GmbH to sell its calcium silicate unit business (HDKS), according to a press release. The transaction has a value of about EUR110m (US$129.6m) and is expected to be completed within the 1Q18.

"HDKS has a strong market position in the North-East and South-West of Germany as well as in Switzerland, but the focus of its product portfolio on calcium silicate units is outside the core businesses of HeidelbergCement," said Dr Bernd Scheifele, CEO of HeidelbergCement.

HDKS is estimated to achieve EUR65m sales in the 2017 period, with an EBITDA margin of approximately 20 per cent.