Cemex completes Kentucky divestments
31 August 2010
Cemex has completed the divestment of seven quarries, three distribution centres and a concrete block manufacturing facility in Kentucky, US. The buyer was Bluegrass Materials, which paid US$ 90 million for the assets.
Cemex acquired the businesses in 2007 as part of its acquisition of Rinker Group. However, they have since been deemed non-core businesses as far as the company's integrated cement, concrete, aggregates and building materials businesses in the US are concerned. Proceeds from the sale will be used by Cemex to pay down its debt.
The buyer, Bluegrass Materials, is a wholly owned subsidiary of a new company, Panadero Aggregates Holdings. The company was set up by John D. Baker II and Edward L. Baker II. The Baker family previously had an interest in Florida Rock Industries, an aggregates and concrete producer in Florida, US, prior to its acquisition by Vulcan Materials in 2007 for US$ 4.2 billion.