French industrial company Lafarge said on Monday that it has sold its North American gypsum assets to Lone Star Funds for $700 million in cash. Lafarge’s North America’s gypsum division produces gypsum wallboards and joint compounds in the U.S. and Canada. According to Lafarge, this transaction is expected to close “very soon.”
Lafarge announces the sale of its subsidiary’s North American Gypsum assets at an enterprise value of 700 million US dollars (533 million euros) to an affiliate of Lone Star Funds.
Lafarge North America’s Gypsum division manufactures gypsum wallboards and joint compounds throughout a network of plants in the United States and Canada. In 2012, these operations generated sales of 310 million US dollars. As a reminder, these operations were classified as assets held for sale in the Lafarge’s consolidated balance sheet since 2011.
This operation completes the group focus on its core businesses: Cement, Aggregates and Ready-mix Concrete. Lafarge maintains notably a 20% participation in the JV created with Etex which combined the assets of both groups in Europe and South America.
This transaction, which is expected to close very soon, is subject to the satisfaction of customary closing conditions.