Irish cement maker, Readymix PLC said it has entered into an arms length commercial agreement with majority shareholder Cemex to use the latter’s proprietary business model and information technology systems. Further, the agreement also grants Readymix the right to use the Cemex brand name and trademarks in Ireland. Initially for a three year term, Readymix has the option of extending the agreement for a further five years (reports AFX News).
In a statement, the company said the cost of adopting the business practices and the technological platform has been estimated at Euro 3.7m, with estimated annual running costs of Euro 2.3m. The running and installation costs are expected to have a two year pay-back, with annual savings to the bottom line exceeding the running costs thereafter.