ZURICH Aug 4 Holcim Ltd and Lafarge <SA LAFP.PA> gave details on Monday of the activities they plan to offload in Brazil in order to gain antitrust approval for their merger to create the world's largest cement maker.
The assets the Swiss and French companies propose to sell include three integrated cement plants and two grinding stations as well as one ready-mix plant in southeastern Brazil.
"These proposed divestments have been presented to (Brazilian antitrust watchdog) CADE in the context of pre-filing negotiations and will now be subject to review and further discussion until a final decision is reached with the authority," the two said in a statement.
Holcim and Lafarge need to shed assets generating about 5 billion euros ($6.71 billion) in annual revenue to help persuade competition watchdogs to back the proposed deal, which was unveiled in April and would create a combined group with $44 billion in yearly sales.
The two said Brazil will remain a key market for cement, aggregates and ready-mix concrete following conclusion of the deal, which is expected next year.
The companies said they would discuss the proposed disposals with employee representative groups in parallel with talks with the competition authorities and potential buyers. ($1 = 0.7457 Euros) (Reporting By Katharina Bart, editing by Tom Miles and Jane Merriman)