CEMEX acquires majority stake in German aggregates company - CEMEX acquires majority stake in German aggregates company
July 11, 2022
- CEMEX completes acquisition of a 53% majority stake in ProStein GmbH & Co. KG, a major producer and distributor of aggregates in Germany.
- The acquisition is part of CEMEX’s strategy to grow its position in developed markets through bolt-on investments.
CEMEX, S.A.B. de C.V. (“CEMEX”) announced today that it has completed the acquisition of a 53% stake in German aggregates company ProStein. The investment expands CEMEX’s aggregates business in the region while increasing the lifespan of its aggregates reserves in Europe. The company’s aggregates sales in Germany are expected to double with the acquistion.
ProStein’s assets include six active hardstone plants and six construction, demolition, and excavation waste (CDEW) recovery sites. This deal is part of CEMEX’s bolt-on investment pipeline within its Operation Resilience strategy, which focuses on de-risking the company and injecting growth into its portfolio while advancing its sustainability agenda.
“We are strongly committed to making the right investments for our customers and shareholders,” says Sergio Menendez, President of CEMEX Europe, Middle East, Africa & Asia. “This investment allows us to have a sustainable supply of high-quality aggregates in a major metropolitan center for years to come, in line with our Operation Resilience strategy. It is also key for our plans to significantly increase the volume of construction and demolition waste that we recover, recycle, and reuse in our operations.”
The majority stake in ProStein’s assets expands CEMEX’s aggregates portfolio to a full range of fine and hardstone aggregates. CEMEX expects current reserves to suffice for at least the next 25 years, even accounting for incremental sales growth. In addition to serving the Berlin metropolitan area, the added capacity can supply multiple urban centers in Poland and the Czech Republic.
This acquisition supports CEMEX's program to achieve carbon neutrality, Future in Action. Two of ProStein’s large quarries are connected to metropolitan areas by train. Rail transportation of aggregates has a lower carbon footprint than alternative methods and allows for more efficient transfer. Moreover, the deal includes an active CDEW recovery site and five future sites, which allow for storage of waste for recycling into new aggregates, a lynchpin of CEMEX’s circular economy strategy.
CEMEX (NYSE: CX) is a global construction materials company that is building a better future through sustainable products and solutions. CEMEX is committed to achieving carbon neutrality through relentless innovation and industry-leading research and development. CEMEX is at the forefront of the circular economy in the construction value chain and is pioneering ways to increase the use of waste and residues as alternative raw materials and fuels in its operations with the use of new technologies. CEMEX offers cement, ready-mix concrete, aggregates, and urbanization solutions in growing markets around the world, powered by a multinational workforce focused on providing a superior customer experience, enabled by digital technologies. For more information, please visit: www.cemex.com
CEMEX assumes no obligation to update or correct the information contained in this press release. This press release contains forward-looking statements within the meaning of the U.S. federal securities laws. CEMEX intends these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the U.S. federal securities laws. These forward-looking statements reflect CEMEX’s current expectations and projections about future events based on CEMEX’s knowledge of present facts and circumstances and assumptions about future events, as well as CEMEX’s current plans based on such facts and circumstances. These statements necessarily involve risks and uncertainties that could cause actual results to differ materially from CEMEX’s expectations, including the announced acquisition to hot produce the expected results. The content of this press release is for informational purposes only, and you should not construe any such information or other material as legal, tax, investment, financial, or other advice. CEMEX is not responsible for the content of any third-party website or webpage referenced to or accessible through this press release.
Analyst and Investor Relations
Alfredo Garza / Fabián Orta
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