Cement Americas provides comprehensive coverage of the North and South American cement markets from raw material extraction to delivery and tranportation to end user.
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www.cementamericas.com • Winter 2015 • CEMENT AMERICAS 7 CEMENTSCOPE HeidelbergCement to Sell Hanson Building Products HeidelbergCement announced that it has entered into a definitive agreement with an American affiliate of Lone Star Funds to sell its North American (ex- cluding Western Canada) and United Kingdom building products business (Hanson Building Products), for an ag- gregate purchase price of $1.4 billion, of which up to $100 million will be payable in 2016, depending on the per- formance of the business in 2015. The closing is subject to the satisfaction of customary closing conditions. Heidel- bergCement expects the transaction to close in the first quarter of 2015. The sale of Hanson Building Products is consistent with HeidelbergCement's strategy of focusing on processing and refining raw materials for its core prod- ucts of cement and aggregates and fur- ther downstream activities. "Hanson Building Products is a multina- tional business with leading market po- sitions, but the focus of its product portfolio on bricks, pressure and gravity pipes and precast is outside the core businesses of HeidelbergCement. We are pleased that Lone Star will acquire this business, which as an experienced financial investor will support the sus- tainable development of the business going forward," said Dr. Bernd Scheifele, CEO of HeidelbergCement. "We will use the proceeds to accelerate our debt pay down. This is an impor- tant step towards reaching our target financial metrics that are relevant for improving our credit-worthiness. I am very pleased with our financial disci- pline in 2014 and we will do our utmost to continue to create value for our shareholders in 2015." Hanson Building Products is a leading manufacturer of concrete pressure and gravity pipes in North America, as well as one of the largest brick producers in North America and the UK. The busi- ness employs a staff of 4,621 and has an extensive network of 107 manufac- turing plants and 11 distribution facili- ties in the USA, Eastern Canada and the UK. In 2013 revenues totaled approxi- mately $1.1 billion and adjusted pro- forma EBITDA reached $90 million. In addition to engineering services, proj- ect management and commissioning, all major processing machines are included. The pyro processing line consists of a FRM mill for raw grinding, an ATOX coal mill, 5-stage ILC preheater with a Low NOx Calciner, a FLSmidth Cross-Bar cooler and a two-pier kiln. Pfister weighing and dosing systems, MAAG gear reducers, gas analyzers as well as all Airtech process fil- ters are also included. "Colombia has experienced a strong eco- nomic growth and is expected to see an increase in the cement demand. FLSmidth has a strong local presence in the country – including a regional office and a local service unit, so we are ready to serve the market," commented Per Mejnert Kristensen, president of the ce- ment division for FLSmidth. The order will contribute beneficially to FLSmidth's earnings until late 2017. Camfil APC Names New Vice President Camfil Air Pollution Control (APC), a lead- ing global manufacturer of dust, fume and mist collection equipment, has promoted Thomas (Tomm) Frungillo to the position of vice president, Camfil APC Americas. "Tomm Frungillo has been a key player in the growth of Camfil APC since he joined the company in 2000," said Alan O'Connell, executive vice president in charge of global operations for the company. "He will assume full respon- sibility for the Jonesboro manufactur- ing facility as well as sales operations in North and South America for all Camfil APC products, including the full line of products resulting from the Handte acquisition earlier this year." Frungillo has more than 20 years' ex- perience in the dust collection and air filtration industries. Since joining Cam- fil APC as a regional sales manager, he has held a succession of posts in sales management as well as special market management in the pharmaceutical, mining and thermal spray industries. More recently his duties expanded to include responsibility for Latin Ameri- can and Asian sales operations. THOMAS FRUNGILLO