Banks ready to sell HeidelbergCement's bricks unit
An improving US housing market is lifting materials makers as far as Germany.
HeidelbergCement is preparing to sell its bricks and construction materials business as it looks to cash in on revitalised building activity in the US and Europe with a deal that comes at a time of widespread change in the global construction industry, M&A correspondents Ed Hammond and Arash Massoudi report.
The German materials conglomorate has interviewed banks in recent weeks to run the sale of its Building Products division, according to several people familiar with the matter, with an eye to taking the business to market this summer.
The division, which generates annual sales of about $1.4bn, is expected to be priced at between $1.5-$2bn.
The exact portfolio of assets Heildelberg intends to sell has not yet been determined, according to sources, so the end value of any sale could vary, however.
A spokesperson for Heidelberg could not immediately be reached for comment.