The Mexican company Cemex announced that one of its US subsidiaries has signed a definitive agreement to sell its Pacific Northwest materials business for approximately $150 million.

The divesture comprises aggregate, asphalt and ready mix concrete operations in Oregon and Washington.

Subject to certain conditions, including approval from regulators, the business will be passed over to Cadman Materials – a LehighHanson company and US subsidiary of HeidelbergCement group – during the second quarter of 2017, or soon thereafter.

This news comes soon after Cemex's sale of its Croatian operations fell through.

Cemex said that proceeds from the sale will be used mainly for debt reduction and general corporate purposes.

Bank of America Merrill Lynch and Citigroup Global Markets Limited are acting as financial advisors to Cemex in the transaction.

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