Camargo withdraws from Cimpor merger

Brazil's Camargo Corrêa has withdrawn its proposal to merge with Portugal's Cimpor. Camargo had offered to acquire a sub-50% stake in the Portuguese cement company following a hostile bid by CSN in December, although it described its offer in mid-January as "preliminary and non-binding".

Cimpor has confirmed that it has received a letter from Camargo Corrêa stating that it has withdrawn its merger proposal.

A spokesperson from Cimpor said, "Camargo Corrêa justifies its decision with the understanding that its proposal constitutes a disturbing element in the ongoing processes and this would go against its standard practice intervention model."

In a letter received by Cimpor, Camargo Corrêa stated that it will continue with efforts to be a part of the solution to ensure the growth and protection of Cimpor.