Aiming to complete their mega merger to create world’s largest building material company in first half of next year, Lafarge and Holcim have formally notified the European Commission about the amalgamation plan for regulatory approval.
“With this notification, Holcim and Lafarge have now completed all necessary notifications with the regulatory authorities worldwide,” Holcim said in a release today.
Holcim has majority stake in two leading major Indian cement firms — ACC Ltd and Ambuja Cements. Lafarge has eight million tonnes capacity in India.
The two, however, slightly amended their proposed assets disinvestment plan in Europe in their notification to European Commission from what was stated during the “constructive” pre-notification discussions.
“Compared with the list of assets presented on July 7, 2014, the two companies now propose: to retain Lafarge’s Mannersdorf plant located in Austria and to divest all of Holcim’s operations in Slovakia,” it said.
In the rest of the world, the proposed list of assets remains the same, with the exception of the Philippines, as announced by the boards of directors of Lafarge Republic Inc. and of Holcim Philippines Inc.
“In parallel to the regulatory process, Holcim and Lafarge are in ongoing negotiations with potential buyers of the assets that are proposed for divestment,” it said.
The divestment process would be carried out in the framework of the relevant social processes and ongoing dialogue with the employee representatives’ bodies.
“The closing of the planned merger is expected in H1 2015, with the aim of creating the most balanced and diversified portfolio in the industry, operating in 90 countries and creating superior value for its stakeholders and customers,” it said.