ECONOMY

Italcementi sells its assets in Turkey to Russian Sibirskiy

MILAN (Reuters) – Italy’s Italcementi has sold its Turkish assets to Sibirskiy Cement in a 600-million-euro ($937.6 million) deal and entered into talks with the Russian cement-maker about further cooperation in the fast-growing region. «The deal will enable Italcementi Group to sign a strategic alliance with a company leader in the sector of construction materials in Russia,» it said in a statement yesterday. «Italcementi and Sibirskiy Cement are… exploring possible cooperation in central Asia (and) Russia,» it said. The announcement by Italcementi, Italy’s biggest cement-maker, confirmed a newspaper report about the deal out of Moscow. Under the terms of the deal, its French unit Ciments Francais will sell Set Group in Turkey for 600 million euros in cash and stock. It will get 400 million euros in cash and 200 million euros’ worth of shares representing 5.4 percent of Sibirskiy. «Italcementi will also have a put option on the stake acquired to be exercisable versus Sibirskiy Cement between 18 and 24 months after closing for a value of 220 million euros,» it said. The Set Group comprises four cement plants, one grinding center and 16 ready-mixed concrete facilities. Its revenue last year totaled 260 million euros.