Semapa notifies CRH of intention to acquire CRH's 49% holding in Secil
First publishedon www.AggBusiness.com
Portuguese company Semapa has agreed to pay CRH €574m for a stake the Irish group owns in a joint venture between the two companies.
A Paris-based international arbitration tribunal ruled last year that CRH had to sell its 49% stake in Portuguese cement maker Secil.
Since 2009 Semapa has claimed that it was entitled to exercise an option that would allow it to acquire the CRH’s stake in the joint venture.
CRH paid €429 million to Semapa in 2004 to buy the 49% stake in Secil, and that included the assumption of €100 million in debt.
The matter was eventually referred to the International Chamber of Commerce for a final resolution.
CRH, which rejected Semapa's claim it was entitled to fully acquire Secil, believed it would be vindicated.
Semapa has confirmed that it will now buy the CRH stake by 15 May.