Cemex SA said Tuesday it is close to taking full control of Australian-listed construction materials group Rinker Group Ltd, having gained 89.76 percent of Rinker’s issued capital through its ongoing US$14.25bn takeover offer.
Under Australian takeover law, Cemex will need to gain 90 per cent of Rinker for it to be allowed compulsory acquisition of the remaining issued capital.
Australia’s largest all-cash takeover offer is due to close on July 16.
Bell Potter Securities private client advisor Stuart Smith said funds received by Rinker shareholders accepting the offer are likely to find their way back into the market.
Smith expects other construction materials groups, such as Boral Ltd and Adelaide Brighton Cement Ltd, to be bid up as accepting Rinker shareholders place new bets on the construction materials sector, from which Australia has been benefiting due to the prolonged mining boom and increased spending on infrastructure.