FCC studying buyout of cement unit

FCC studying buyout of cement unit
Published: 01 March 2011

Spanish builder FCC has studied the possibility of using shares held as treasury stock to buy out the minority stake in its struggling cement unit, its chairman said on Tuesday.

FCC owns 70 per cent of Cementos Portland, which has suffered from the sharp downturn in Spanish construction activity since a decade-long boom burst a few years ago. Its net profit fell 95 per cent to EUR1.2m (US$1.7m) in 2010.

"As of today we haven’t decided anything, but of course it’s true that we’ve studied (buying out the shares) and other options, as we do for all our units," FCC Chairman Baldomero Falcones said on a conference call.

Source: Reuters