Venezuela considers payment for Holcim, Lafarge

Venezuela considers payment for Holcim, Lafarge
Published: 15 April 2009

The Venezuela’s government may pay European cement companies Holcim and Lafarge with cash and bonds in compensation for nationalized assets, El Universal reported , citing unidentified government officials.

The payments, which would be 50 per cent in cash and 50 per cent in bonds, may be made in July or August, the Caracas- based newspaper reported, without providing further details.

The government is analyzing the local plants of the cement companies for possible environmental damage and may seek to reduce the cost of compensation, El Universal said.

Venezuela expects Holcim to keep a 15 per cent stake in the local operation and Lafarge to stay on as a minority partner with 11 percent of the Venezuelan unit, the newspaper said.

Source: Bloomberg News