LafargeHolcim agrees to sell its India business to Nirma Ltd

LafargeHolcim's CEO Eric Olsen. Photograph:( Getty )

Reuters Z?rich, Switzerland Jul 11, 2016, 06.39 AM (IST)
The world's biggest cement maker, LafargeHolcim has agreed to sell its Lafarge India business to the Ahmedabad-based group of Indian companies, Nirma Ltd for an enterprise value of around $1.4 billion, they said on Monday.

"This agreement is an important step in our 3.5 billion Swiss franc ($3.56 billion) divestment programme," LafargeHolcim Chief Executive Eric Olsen said in a statement.

"With this deal, two-thirds of the programme has been secured and the remainder of the program is well on track. We are confident that we will meet our target by the end of this year."

The deal, the proceeds of which will be used to pay down LafargeHolcim's debt, is subject to approval by the competition commission of India.

($1 = 0.9828 Swiss francs)