PPC Says Expression of Interest Withdrawn by CRH

Lloyd Doyle
December 7, 2017

CRH, the Ireland-based building materials group has ditched its bid to acquire South-Africa based cement supplier PPC.

Last month PPC said CRH had made an approach with a cash proposal and had been given time to conduct due diligence and then come back with another offer.

PPC said that on December 4 it was advised by CRH that the Irish company would not be submitting an updated expression of interest and would withdraw from the process.

According to Davy analysts, CRH's strategic priority remains its end-markets in Europe and North America so a deal for PPC was always a low probability.

So far this year, CRH has paid €1.34bn for 27 acquisitions or investment transactions, including deferred and contingent consideration in respect of prior year acquisitions.

CRH becomes the second company to withdraw its interest in PPC, after Nigeria-based Dangote Cement walked away in September.

PCC told Reuters that it is still talking to Swiss company LafargeHolcim over a possible deal.

Last month, PPC's board also rejected a takeover attempt by AfriSam, South Africa's second-largest cement maker.

Other reports by Iphone Fresh

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