HeidelbergCement sells building products business to Lone Star-Reuters

(Reuters) – Germany’s HeidelbergCement AG said on Wednesday it clinched a deal to sell its Hanson Building Products business to private equity firm Lone Star Funds for $1.4 billion.

Up to $100 million of the takeover price will be payable in 2016, depending on the 2015 performance of Hanson Building Products, whose main markets are in North America and Britain, the German cement maker said.

Sources told Reuters on Tuesday that final bids were submitted earlier this month and that Lone Star looked set to prevail over other buyout firms in the auction.