Lafarge acquires Cimento Davi, Brazil

Lafarge acquires Cimento Davi, Brazil
Published: 21 September 2006

Lafarge has acquired the control of the Minas Gerais state based Cimento Davi in a deal rumoured to be around R$100m, and part of its strategy to reinforce presence in the Southeast regional market.

Plans are to expand and modernize Davi, which is a small player in the Southeast with capacity for 500,000tpa of CP-II cement, and only 0,67% of the regional market, while Lafarge holds 10,61%, thus it expects the clearance of anti monopoly authorities.

Headquartered in Rio de Janeiro and running six plants in Brazil, Lafarge ran 2.5Mt in 2005 ranking the 6th largest cement company with a 6.6 per cent share in the domestic market which is estimated at 40Mt in 2006, up 14% from 2005.