“Management, staff, customers, suppliers, everyone’s staying. There will be no layoffs. The collective work contract is the same, it’s in effect and it’s part of the sale agreement. (…) There will be no restructuring following the sale,” Borc told a news conference.
Ireland’s CRH reached an agreement with Switzerland’s Holcim and France’s Lafarge to buy many of the assets the two companies are selling ahead of their merger, including Lafarge’s Romanian operations, for a total of EUR6.5 billion.
Holcim and Lafarge agreed to merge last year, creating the world’s largest cement manufacturer, with annual sales of $44 billion.
In Romania, CRH is taking over cement plants in in Medgidia and Hoghiz, a milling station in Targu Jiu, 16 quarries and 16 concrete stations. CRH is taking over Lafarge Ciment (Romania), Lafarge Comnord, Lafarge Betoane, Lafarge Agregate Betoane, Lafarge RMX & Agregate, Sicim, Eco Gest and Recy – Eco Combustibil, according to information provided Thursday by Lafarge Romania.
Lafarge has 1,000 employees in Romania and has invested around EUR700 million in the country so far.
Lafarge Romania’s consolidated turnover stood at approximately EUR200 million last year and a growth of 5-8% is estimated for this year.
The local cement market stood at 7.4-7.5 million tons in 2014 and could grow to around 8 million tons this year, said Borc, adding that in value, sales are still below the level before the crisis.