Super Lawyers
The top Attorneys in Virginia and
the Washington, D.C. metropolitan
area, only 5% of the attorneys
in the state are named in SuperLawyers
ATA NBTA | The National Board of Trial Advocacy Association of Trial Lawyers of America Virginia Trial Lawyers Association National Asociation of Distinguished Counsel | Nation's Top One Percent | NADC

Cement industry shows signs of resurgence

Virginia residents involved in the field of construction may be interested to read that the cement industry may be a barometer for the recovering construction industry, according to experts. The gross amount of business transactions in this industry topped $22 billion in the past 12 months, the highest level since May 2008, and there is talk of a merger between two of the world's biggest cement makers.

Holcim Ltd. and Lafarge SA have a combined market share of more than $50 billion. The companies are evidently feeling confident enough about the recovering market to consider the possibility of coming together to form a strong alliance. The merger would cut costs for cement producers, particularly in light of the losses sustained in the last six years as demand for building materials plummeted.

The Holcim/Lafarge merger follows in the steps of the Martin Marietta Materials Inc.'s takeover of Texas Industries Inc. for $2.7 billion. This deal was the biggest so far in North America in the past five years. The new merger is based on the two companies approaching each other as equals rather than as one large company overtaking a smaller one. With cement consumption set to rise 8.1 percent in 2014, these companies believe that now is the time to get ahead of the recovery.

A business attorney helps companies that are considering acquisitions and mergers. These transactions can be very complicated, so it is usually wise for companies to have legal advice before venturing into a merger situation. With the help of a business attorney, companies can be sure that they have representation of their interests at the negotiation table and that any contracts that are presented are reviewed thoroughly.

Source: Bloomberg, "Cement Deals Lay Foundation for Building Boom: Real M&A", Tara Lachapelle, Thomas Black, Brendan Case, April 04, 2014

No Comments

Leave a comment
Comment Information

DISCLAIMER: This website is designed to provide only general information; nothing contained herein constitutes legal advice nor is it an offer of legal representation. Use of this website is not intended in any way to create or convey the impression that such use of the website by any person, organization, or entity of any nature and/or kind constitutes any attorney-client relationship whatsoever and any information provided in this website shall not constitute legal advice. The use of any electronic communication available through this website with the Law Office of Richard L. Downey or any person associated with this website shall not constitute attorney-client relationship nor will any communication received by the Law Office of Richard L. Downey constitute an attorney-client communication. The Law Office of Richard L. Downey cannot make any guarantees as to the accuracy or currency of any information contained in or created in this website or the use of any link to another website contained in this website. The information that you obtain at this website is not, nor is it intended to be legal advice. You should consult a lawyer for individual advice concerning your own particular situation.

*The National Board of Trial Advocacy is accredited by the American Bar Association. Currently there is no procedure in the Commonwealth of Virginia for approving certifying organizations.