In its latest attempt to reduce debt, Cemex has negotiated the sale of its activities on the Canary Islands to Cimpor for an amount in the region of €165m.
The deal is dependent on the approval of the competition authorities and the extent to which Cemex’ joint venture partners do not exercise their pre-emption rights with respect of the INPROCOI mortar plant on Tenerife and Cementos Especiales de las Islas. Cementos Especiales de las Islas owns a 1.5Mta grinding station on Gran Canaria, seven marine terminals on various islands, five batching plants, four pre-cast concrete plants, three mortar plants and a pozzolana quarry.
The wholly owned businesses are all on Tenerife and consist of a 0.8Mta grinding plant, one marine terminal, seven batching plants and a pozzolana quarry. Cimpor intends to use its existing kilns in Portugal and Spain to supply clinker to the grinding plants on the Canary Islands.