Spain Megasa buys small stake in Cimpor

Spain Megasa buys small stake in Cimpor
Published: 09 April 2004

Spanish steel manufacturer Metalurgica Galaica SA (Megasa) bought a 1.99 per cent stake in Portuguese cement producer Cimpor for 56.2 mln euro ($67.9m) on April 7, 2004.  Megasa bought 13.4 million Cimpor shares via the Euronext Lisbon stock exchange. The shares represent 2.01 pct of the company’s voting rights.  Megasa will broaden its production with building materials such as iron, cement and concrete. The Galician company is expected to further increase its stake in the cement producer, a Cimpor spokesperson said.  Cimpor posted a 186 mln euro ($224.8 mln) net profit and a 1.361bn euro ($1.644bn) revenue in 2003. It controls 100 pct of Galician cement producers Corporacion Noroeste and Cementos Cosmos.  Cimpor shareholders include French cement producer Lafarge controlling 11.5 pct, Swiss cement company Holcim with 5.1 pct, and Portuguese construction companies Teixeira Duarte, 10 pct and Secil, 9.0 pct.