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LafargeHolcim to acquire Somaco, one of Romania’s leading precast concrete producers

Business Review | July 16, 2019

BUSINESS
LafargeHolcim, the leading player on the global construction materials market, has signed an agreement with ORESA for the acquisition of Somaco, one of Romania’s leading precast concrete producers. The transaction will allow LafargeHolcim to develop its position on the Romanian building materials market, where the company is already present in the cement, ready-mix concrete and aggregates segments, according to a statement by the company.

LafargeHolcim to acquire Somaco, one of Romania’s leading precast concrete producers

“This is our sixth bolt-on acquisition this year and we are delivering on our commitment to further develop our Solutions & Products business segment as part of Strategy 2022 – ‘Building for Growth’. The acquisition enables LafargeHolcim to enter Romania’s fast growing precast concrete market and to become an integrated solutions provider for our local customers,” said Jan Jenisch, the CEO of LafargeHolcim.

Law firm Popovici Nitu Stoica & Asociatii and KPMG assisted ORESA/Somaco in the deal.

Somaco has leading positions and operates five precast concrete plants and one plant for aerated blocks in Romania. The company reported net sales of EUR 56 million in 2018 and has 750 employees. It has a strong portfolio of precast solutions for bridges, tunnels, subways and logistics platforms and supplies products for the residential sector. Romania’s precast segment is expected to grow over the coming years thanks to the country’s high construction and infrastructure needs.

The transaction is subject to regulatory approvals and is expected to close in Q4 2019.

By: Anca Alexe
Source: Business Review