Economy & Market
Votorantim-Camargo may jointly bid for Cimpor at ¤ 2.48 bn
Cimpor Cimentos de Portugal SGPS SA is planned to be jointly bought by Votorantim Participacoes SA, a Brazilian raw materials producer and Camargo Correa SA for euro 2.48 billion. Camargo, the second biggest construction company in Brazil and the largest investor in Cimpor is seeking to double its share of the local cement market as demand rises ahead of the World Cup in 2014. The Sao Paulo based company owns 33 per cent of Cimpor. Votorantim, which owns 21 per cent of Cimpor is considering exercising its right of first refusal to buy a 9.6 per cent stake from Portugal's state owned lender Caixa Geral de Depositos SA. That would give it a similar stake to Camargo.Votorantim and Camargo bought stakes in Cimpor in early 2010 . Both companies held talks last year about buying the rest of Cimpor and dividing its assets. Camargo would keep Cimpor's Brazilian plants and Votorantim would take the rest.