Tarmac for sale
Published: 17 January, 2011
BIRMINGHAM: Tarmac is to be sold by its owner, Anglo American for about £1.7bn, according to the Observer newspaper.
Anglo told its financial adviser, Goldman Sachs to sound out potential buyers that include Holcim of Switzerland, Mexico's Cemex, Paris-based Lafarge and CRH of Ireland. Private equity groups could also be interested, the newspaper said.
Tarmac was acquired by Anglo in 2000 and employs more than 6000 people in the UK and Ireland. But a sale is thought to be some way off as Anglo is waiting for the UK housing market to stabilise.
Anglo American plans to sell businesses worth £3bn this year as part of a cost-cutting drive by the chief executive, Cynthia Carroll. Cash raised from the sales programme will be used to cut Anglo's debt of about £7bn and provide capital for its global mining projects.