CEMEX Makes Significant Progress in Asset Disposal Program
March 21 2019 - 6:00AM
Business Wire
CEMEX, S.A.B. de C.V. (“CEMEX”) (NYSE: CX) announced today it is
making significant progress in its divestment initiative which is
part of “A Stronger CEMEX”, a previously announced enhancement
plan, by having closed or reached binding agreements for sales of
approximately U.S.$750 million, which represents 50% of the low end
of the December 2020 divestment target range.
CEMEX announced the “A Stronger CEMEX” plan in July 2018, which
includes a U.S.$1.5 to U.S.$2 billion asset disposal target by the
end of 2020. Since then, CEMEX has announced the divestment of
assets in the Baltics and Nordics, the terminal in Manaus, Brazil,
aggregates and ready-mix assets in Germany, the white cement
business, including the Buñol cement plant in Spain, among other
assets. The expected proceeds of these transactions represent a
double digit multiple relative to 2018 EBITDA.
“We are pleased with the progress of our asset sale initiative
under our ‘A Stronger CEMEX’ plan,” said Fernando A. Gonzalez, CEO
of CEMEX. “We remain completely committed towards the goal of
achieving an investment grade capital structure and will continue
our disciplined deleveraging and improvement of our capital
structure.”
For transactions that have closed, the proceeds were used for
general corporate purposes, including debt reduction; and for those
transactions that have not closed, the proceeds expected to be
obtained from these divestments would be mainly used for debt
reduction and general corporate purposes.
In relation to the divestments that have been announced but not
closed, the closing of the announced sales is subject to finalizing
definite sale agreements and/or the satisfaction of standard
conditions for this type of transactions, which includes
authorization by regulators.
CEMEX is a global building materials company that provides high
quality products and reliable service to customers and communities
in more than 50 countries. CEMEX has a rich history of improving
the well-being of those it serves through innovative building
solutions, efficiency advancements, and efforts to promote a
sustainable future. For more information on CEMEX, please visit:
www.cemex.com.
This press release contains forward-looking statements and
information that are necessarily subject to risks, uncertainties,
and assumptions. Many factors could cause the actual results,
performance, or achievements of CEMEX or the transactions herein
described to be materially different from those expressed or
implied in this release, including not reaching final sale
agreements or not satisfying all closing conditions required to
close these divestments. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those described
herein. CEMEX assumes no obligation to update or correct the
information contained in this press release. CEMEX is not
responsible for the content of any third-party website or webpage
referenced to or accessible through this press release.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190321005202/en/
Media RelationsJorge Perez+52 (81)
8888-4334mr@cemex.com
Investor RelationsEduardo Rendon+52 (81)
8888-4256ir@cemex.com
Analyst RelationsLucy Rodriguez+1 (212)
317-6007ir@cemex.com
Cemex SaB De Cv (NYSE:CX)
Historical Stock Chart
From Mar 2024 to Apr 2024
Cemex SaB De Cv (NYSE:CX)
Historical Stock Chart
From Apr 2023 to Apr 2024