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MANILA, Philippines — Switzerland-based cement giant Holcim Group is selling its Philippine business to China’s Huaxin Building Materials in a deal valued at about $807 million, the company announced on Sunday.
Holcim will sell an initial 67.623-percent stake to the Wuhan-based company for $527 million, avoiding an upfront payment of the full purchase price. Then, the Swiss firm will divest its remaining roughly 31-percent stake over the next three to five years for a minimum of $280 million.
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Additionally, the valuation may also increase “based on incremental value creation during this period,” Holcim said.
In the Philippines, Holcim is one of the country’s largest cement manufacturers, operating four cement plants, one grinding mill, five ports and a nationwide distribution network with an annual cement production capacity of 10 million metric tons.
READ: Holcim PH to be delisted from stock exchange
Holderfin B.V. bought out minority shareholders and took full control in 2023, delisting the company from the Philippine Stock Exchange.
Holcim expects the sale of the majority stake to Huaxin to close in the first half of 2027, subject to customary regulatory approvals. /pai INQ
