CEMEX, the world´s third largest Cement Company, initiates strategic retail investor program in the U.S.
March 7, 2000
CEMEX, S.A. de C.V. (NYSE: CX) announced today that it has launched a campaign to target retail investors in rapidly growing investor communities throughout the United States.
CEMEX´s financial management has selected Denver as the first stop on its U.S. investor tour based on the city´s marked performance as an increasingly burgeoning business hub.
With 1999 net sales close to US$5 billion and more than US$1 billion in net profits, CEMEX has experienced dynamic growth, moving from No. 28 to No. 3 in the global cement industry in the last ten years. The company has operating subsidiaries in 30 countries and trade relationships with over 60 nations.
CEMEX´s initiative represents the first time a multinational headquartered in Latin America has launched a program targeting retail investors in the U.S. During the first phase of the program, company executives will discuss the company´s growth opportunities in targeted cities such as: Denver, Miami, Cincinnati, Philadelphia, and San Francisco.
"We want to tell CEMEX´s success story to new investors, and share with them the company´s growth strategies," said Rodrigo Treviño, Chief Financial Officer. "This nation-wide effort should broaden our investor base, so more individuals will be able to profit from our strong position in rapidly growing cement markets."
As a result of CEMEX´s geographic diversification strategy, the company´s operating cash flow has grown at a compound annual rate of 26% for the last 10 years. The company has established a strong presence in markets where cement is the construction material of choice.
CEMEX´s brand positioning plays a significant role in the company´s market share; in many of the company´s markets, cement is sold as a brand-name product in bags through exclusive and nonexclusive distributors. These markets have important infrastructure needs and a relatively low per-capita cement consumption, which translates into significant growth potential.
"CEMEX is an attractive alternative for investors seeking a high-growth company with a strong multinational presence, technological expertise, sound marketing strategies, and powerful brands," Treviño said. "We are confident that retail investors will be very interested in knowing more about CEMEX."
Founded in 1906, CEMEX is one of the three largest cement companies in the world with approximately 65 million metric tons of production capacity. Through operating subsidiaries positioned in four different continents, CEMEX is engaged in the production, distribution, marketing and sale of cement, ready-mix concrete, aggregates and clinker. In addition, the company is the world´s leading producer of white cement and the world´s largest trader of cement and clinker.