In the context of its announced divestment programme, HeidelbergCement is selling its
activities in Israel. The company operates ready-mixed concrete, aggregates and
asphalt production sites there.
The share purchase and sale agreement was signed between HeidelbergCement and
Mashav Initiating and Development Ltd, which is a part of CLAL Industries and
Investments Ltd, belonging to IDB Group of Israel. IDB Group is one of the
biggest public holding companies of Israel.
The deal represents an equity value of around EUR 120 million. The exact
amount will be calculated on the base of net financial position at the closing
date.
"The proceeds from the disposal will contribute to HeidelbergCement's
deleveraging and debt reduction," explains Dr. Bernd Scheifele, Chairman of the
Managing Board. "For the further reduction of its debt HeidelbergCement will
continue to focus on its divestment programme of non-stategic business units."
Since the closing of the deal is subject to the approval of the cartel
authority, it is expected to take place before the end of 2009.
