CRH Ukraine B.V., a Dutch company, has announced its intention to acquire a 99.9775% stake in PJSC "Dyckerhoff Cement Ukraine," which owns cement plants in the Rivne and Mykolaiv regions. The announcement was made on August 12 through the National Securities and Stock Market Commission's disclosure system.
CRH Ukraine B.V. aims to purchase 158,311,865 ordinary shares, representing 99.9775% of the authorized capital of PJSC. Currently, CRH and its affiliates do not hold any shares in "Dyckerhoff Cement Ukraine."
In July 2024, the Antimonopoly Committee of Ukraine (AMCU) approved CRH's acquisition of Dyckerhoff Cement Ukraine's assets. However, the approval includes a condition requiring the transfer of 25-28% of PJSC shares with veto rights to an independent investor within nine months of the purchase.
The European Bank for Reconstruction and Development (EBRD) is expected to be the independent investor, as CRH signed a mandate letter with EBRD in December 2023 for joint acquisition of Italian company Buzzi's assets in Ukraine.
CRH will also be required to regularly report to the AMCU over the next five years on production volumes and domestic market prices.
Previously, in June 2023, Italian cement manufacturer Buzzi, listed by the National Agency on Corruption Prevention as an international war sponsor, agreed to sell part of its Eastern European business, including Ukrainian assets, to the Irish CRH group through its subsidiary Dyckerhoff GmbH. The Ukrainian assets include "Volyn-Cement" (Zdolbuniv, Rivne region) and "Pivden-Cement" (Oleshtsy, Mykolaiv region).
AMCU has been reviewing CRH's concentration application since September 2023.
CRH has been operating in Ukraine since 1999. Since November 2021, its cement operations in Ukraine have been branded as Cemark, including PJSC "Podilsky Cement" (Khmelnytskyi region), LLC "Cement" (Odessa), and PJSC "Mykolaivcement" (Lviv region).
CRH's other business segment in Ukraine involves concrete and reinforced concrete products. The PoliBeton Energo plant in Bila Tserkva specializes in manufacturing power line supports, and the PoliBeton concrete plant in northern Odessa joined CRH in 2020.
Since 1999, CRH has invested approximately $500 million in Ukraine, including $80 million since the full-scale invasion, with $34 million allocated for constructing a cement terminal in Kyiv region.
CRH is a leading global building materials manufacturer, operating over 3,200 plants in 28 countries and employing around 71,000 people. It is the largest building materials producer in North America and Europe and is also present in Asia. CRH American Depositary Shares are listed on the New York Stock Exchange.
