CRH does deal with Spanish cement producer

As part of the transaction CRH and CPV will terminate all legal disputes with each other.

CRH will transfer its 26% stake in Corporacion Uniland to CPV. In consideration, CPV will transfer its 99% stake in Cementos Lemona to CRH. Cementos Lemona is an integrated cement, RMC and aggregates business located close to Bilbao in the Basque region of Northern Spain. CRH will also acquire Southern Cement Limited, a cement importation business based in Ipswich, as part of the transaction.

The company reported its 2012 results yesterday. Sales revenue for 2012 at €18.7bn (£16.1bn) showed an increase of 3%. Underlying like-for-like sales fell 2% comprising a 3% increase in the Americas outweighed by a 6% decline for European operations.

“Results for 2012 reflect progress from CRH’s Americas operations helped by a strong recovery in residential construction and improving overall economic activity in the United States,” said chief executive Myles Lee. “In contrast, our European businesses had to contend with weakening consumer and investor confidence within the Eurozone.

Assuming no major financial or energy market dislocations, we expect that ongoing improvements in our businesses in the Americas combined with further profit improvement initiatives throughout our operations will outweigh continuing trading pressures in our European segments, enabling the Group to achieve progress in 2013.”

Earnings before interest, taxes, depreciation, and amortization amounted to €1.64bn, a 1% decline compared with 2011.

Operating profit fell 3% to €845m after combined restructuring and impairment charges of €88m. Total profits on disposals increased to €230m, compared with €55m in 2011, reflecting the benefit of a €187m gain on sale of businesses in 2012, mainly arising on the Secil and Magnetic Autocontrol divestments.

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