817
817
  • Transaction / Assets
    Turkish Firm OYAK Acquires Cimpor and InterCement
  • Seller
    Cimpor / InterCement
  • Buyer
    OYAK
  • € MM
    700

Turkish Firm OYAK Acquires Cimpor and InterCement

26 October 2018

The Turkish OYAK Group (Ordu Yardımlaşma Kurumu) signed a contract with Cimpor and InterCement to acquire all of the two group’s assets included in their Portugal and Cape Verde Business Unit.

In a statement, the two companies announced that the transaction is part of InterCement (formerly Camargo Corrêa Cimentos) and Cimpor’s publicly announced debt reduction plan, which the firm created in response to adverse conditions in South America, especially Brazil.

The Turkish OYAK Group is Turkey’s first and largest pension fund, founded in 1961, and the leading investor in such profitable sectors growth industries as cement and concrete, mining and metallurgy, automobiles, energy and the chemical sector, agriculture, logistics, finance and specialised aluminium.

The group currently employs around 30,000 people in 19 countries, had a turnover of USD 10.2 billion in 2017 and operates in a range of industries (cement and concrete, mining and metallurgy, automotive, energy and chemical) and services (financial and logistics). Its subsidiary OYAK Cement has seven integrated cement plants and three mills with an annual production capacity of 12 million tons per year, 45 concrete plants and one paper bag factory.

The market leader in Turkey, OYAK Cement is a reference in the development of innovative solutions for the use of cement based on efficiency, creativity and profitability, as well as by its sustainability and dedication to the environment and community.

OYAK Cement identified the potential to integrate Cimpor Portugal and Cape Verde into its portfolio of assets, in particular by highlighting its know-how, potential operational, scale, geographic positioning and export capacity.

The transaction is subject to approval by the competent Competition Entities.

The acquisition will allow OYAK to add the three factories and two cement grinding mills, the 20 quarries and 46 concrete plants located in Portugal and Cape Verde to its portfolio.

The current management structures for Cimpor’s production areas and central services in Portugal and Cape Verde will remain in place.

Original Story: Diário Imobiliário

Translation: Richard Turner