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Romania's anti-trust body to look into takeover of Somaco by LafargeHolcim

Romania's anti-trust body to look into takeover of Somaco by LafargeHolcim

BUCHAREST (Romania), August 26 (SeeNews) -  Romania's competition authority said on Monday it will analyse the recent takeover of Romanian precast concrete producer Somaco by Swiss multinational building materials manufacturer LafargeHolcim.

"In order to determine the concentration compatible with a normal competitive environment, the competition authority will consider the notified transaction under the merger regulation," the Competition Council said in a statement.

LafargeHolcim said in July it has signed an agreement with Romania-based Oresa for the acquisition of Somaco. The deal, whose value was not disclosed, is subject to regulatory approvals and is expected to close in the last quarter of the year.

The transaction will allow LafargeHolcim to develop its position on the Romanian building materials market, where the company is already present in the cement, ready-mix concrete and aggregates segments, LafargeHolcim said in a press release at the time.

Somaco operates five precast concrete plants and one plant for aerated blocks in Romania. The company reported net sales of 56 million euro ($63 million) in 2018 and has 750 employees. 

LafargeHolcim is active in four business segments: cement, aggregates, ready-mix concrete as well as solutions and products. Currently,  LafargeHolcim owns two cement plants in Romania's Campulung (Arges county) and Alesd (Bihor county), a milling station and three cement terminals in Turda (Cluj county), Roman (Iasi county) and Bucharest. It also operates 15 ecological concrete stations, 3 aggregate stations and 2 special binder stations.

($=0.8883 euro)