Tarmac sale delayed
By Chris Sleight07 March 2008
Mining giant Anglo American has postponed the sale of Tarmac, its UK-based quarrying business. The divestment is on hold until conditions improve in the global credit markets.
Anglo announced its intention to sell Tarmac last August, following a strategic review. However, a statement released with its annual results said it had, “decided not to launch the marketing phase of the sale process until current credit conditions improve.”
Anglo says it is now unlikely to conclude the sale of Tarmac in the first half of this year – its original plan. In its original announcement Anglo said it had received expressions of interest from private equity companies as well as other heavy materials producers.
Results for 2007 show Tarmac’s operating profit grew +38% to US$ 474 million (€ 345 million), excluding benefits from exchange rate movements.