Cemex close to gaining control of Australia’s Rinker

Cemex close to gaining control of Australia’s Rinker
Published: 07 June 2007

Cemex said it now has won acceptances for 49.51 per cent of  Rinker Group Ltd’s issued capital, putting it close to winning control of the Australian construction materials group ahead of the June 22 expiry of its US$14bn offer.  
The Mexican group, the world’s third largest cement company, said acceptances have increased from 47.13 per cent announced on Tuesday.  
Once Cemex gains 50 per cent of Rinker’s issued capital it intends to declare the bid unconditional and will also end the right of institutional investors to withdraw acceptances made under an institutional acceptance facility.  
Cemex said acceptances from ordinary shareholders have risen to 34.10 per cent while acceptances under the institutional acceptance facility have increased to 15.41 per cent.  
Cemex’s bid is pitched at US$15.85/share, or A$18.83 a share at the current exchange rate.  
Rinker’s board has recommended the offer, which was revised in April from an initial US$13.00 a share offer made in October.  
Cemex launched its bid to strengthen its position in US markets where Rinker earns more than 80 pct of its income.