CEMEX to receive U.S.$100 million in cash proceeds from joint venture asset sale in the U.S.
CEMEX announced today that its 49.9-percented owned Ready Mix USA LLC joint venture has completed the sale of 12 active quarries and other assets to SPO Partners & Co. for U.S.$420 million.
The active quarries, which consist of two granite quarries in Georgia, nine limestone quarries in Tennessee, and one limestone quarry in Virginia, are operated by Ready Mix USA LLC and were deemed non strategic by CEMEX and Ready Mix USA LLC, its joint venture partner.
The proceeds from the sale will be partly used to reduce debt held by Ready Mix USA LLC, and to effect a cash distribution of approximately U.S.$100 million to each joint venture partner, including CEMEX. CEMEX, which does not consolidate the results of Ready Mix USA LLC, expects to use its cash proceeds from this divestment to reduce outstanding debt and to enhance its liquidity position.
This asset divestment marks another milestone in CEMEX’s efforts to regain its financial flexibility. Other such milestones include the completion of the refinancing of U.S.$15 billion of CEMEX’s outstanding debt and the issuance of close to U.S.$2.3 billion in notes, including the U.S.$500 million raised last month. Additionally, CEMEX has raised U.S.$2.2 billion in equity and mandatorily convertible securities and sold its Australian operations to Holcim for U.S.$1.7 billion.
From our partners
The new Sandvik Ranger surface drill rig offers renowned drilling efficiency with up to 20% lower fuel consumption
Known to many by their former name, Ranger, Sandvik’s DX series surface top hammer drill rigs all feature a revolving…
MORE FROM Aggbeat Online
SUBSCRIBE & FOLLOW
- MSHA rolls out new Part 50 training program600 Views
- Mummified human remains found at the site of a planned quarry in Indiana415 Views
- Caterpillar splits with Navistar, will design and build its own vocational trucks in Texas399 Views
- MSHA highlights second quarter metal/non-metal accidents295 Views
- Lafarge NA sells $450 million in assets to Summit Materials242 Views