Lafarge is looking for a buyer of its plaster division Lafarge Gypsum, according to media reports.
Daily Les Echos wrote that the value of Lafarge Gypsum is estimated at EUR1.5bn.
French bank BNP Paribas (EPA:BNP) and global financial services holding company Citigroup will study the possible options. Reportedly, they started yesterday contacting potential buyers, which include industrial, financial companies and funds.
News agency Reuters said yesterday that the majority of the candidates are interested in buying only the European activities of Lafarge Gypsum, while Lafarge seeks to sell the entire business.
American Gypsum Company, a subsidiary of Eagle Materials and Saudi-Arabian National Gypsum are also in the list of potential bidders.
Lafarge, whose credit rating was recently reduced by Standard & Poor’s, engaged to raise at least EUR750m from asset sales in order to lower its debt.