Bulletin: HeidelbergCement Ratings And Outlook Unchanged On Announced Acquisition Of Cementir Assets in Italy

MILAN (S&P Global Ratings) Sept. 20, 2017--S&P Global Ratings said today that its ratings and outlook on HeidelbergCement AG (BBB-/Stable/A-3) are unchanged following HeidelbergCement's announcement that it would expand its market position in Italy. On Sept. 19, 2017, HeidelbergCement announced that its Italian subsidiary Italcementi SpA has entered into an agreement with Cementir Holding S.p.A. (not rated) to buy Cementir Italia SpA. The acquisition includes all of Cementir Italia's cement and concrete business, for an enterprise value of €315 million. The transaction should close in early 2018 and is subject to final approval by the Italian Antitrust Authority. We understand that HeidelbergCement's net investments for 2017 and 2018 will remain unchanged. To offset the acquisition, HeidelbergCement intends to dispose of

...MILAN (S&P Global Ratings) Sept. 20, 2017--S&P Global Ratings said today that its ratings and outlook on HeidelbergCement AG (###-/Stable/A-3) are unchanged following HeidelbergCement's announcement that it would expand its market position in Italy. On Sept. 19, 2017, HeidelbergCement announced that its Italian subsidiary Italcementi SpA has entered into an agreement with Cementir Holding S.p.A. (not rated) to buy Cementir Italia SpA. The acquisition includes all of Cementir Italia's cement and concrete business, for an enterprise value of 315 million. The transaction should close in early 2018 and is subject to final approval by the Italian Antitrust Authority. We understand that HeidelbergCement's net investments for 2017 and 2018 will remain unchanged. To offset the acquisition, HeidelbergCement intends to dispose of noncore assets within its broader portfolio review. In our view, the acquisition of Cementir Italia provides an opportunity to HeidelbergCement to further consolidate its...

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