Back to the complete issue
Sunday, 4 March 2018

Is LafargeHolcim divesting some or all of its Egyptian assets?

Is LafargeHolcim divesting some (or all) of its Egyptian assets? Cement giant LafargeHolcim could see some of its assets in Egypt sold as part of a new cost-cutting and asset sale strategy announced by new CEO Jan Jenisch on Friday, Reuters reports. The company is planning to shed CHF 3.8 bn (USD 4.1 bn) in assets and could also leave two or three countries. Two thirds of the impairments were concentrated in Algeria, Malaysia, Iraq, Brazil, Indonesia and Egypt, Jenisch said. A Bloomberg examination of the respective capacities of the former Holcim and Lafarge prior to their merger in 2014 shows that the majority of the production capacity in those countries belonged to the latter. The move comes as the company looks to move past the scandal, which brought down its former CEO Eric Olsen, over the company’s Syria factory. The plant, which was bought from Orascom Cement in 2007, is accused of having paid protection to militant factions.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2021 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of Commercial International Bank (tax ID: 204-891-949), the largest private-sector bank in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; and Act Financial (tax ID: 493-924-612), the leading activist investor in Egypt; and Abu Auf (tax ID: 584-628-846), the leading health foodmaker in Egypt and the region.