CSN eyes Joao Santos Group, Brazil
According to local press reports, information posted on the discussion board of the brokerage Deschatre indicates that CSN is interested in purchasing the cement arm of the Joao Santos Group, the second largest cement producer in Brazil behind Votorantim. The company is headquartered in Pernambuco and produces about 6.5Mta. It accommodates 12% of the domestic market.
A union between CSN and Joao Santos’ cement arm would see a group with 11 cement plants with a cement capacity of 8Mta. In the medium-term the company would have 16 mills and a production capacity of 12.5Mt in 2013 if plans announced by CSN to build three plants and double the capacity of its Volta Redonda plant come to fruition.
In addition, the move would give CSN a national presence with factories in the Southeast, Midwest and South.
Source: Diario do Vale Published under Cement News
