CRH acquires remaining part of Dutch joint venture

Building materials giant CRH has bought the outstanding 55 per cent of a Dutch joint venture it acquired in 2003, bringing its total investment in the business to €184 million.

The Irish company said yesterday that it had bought the balance of Cementbouw BV, in which it acquired a 45 per cent stake when it purchased its parent, Dutch player Cementbouw, for €693 million in 2003.

The Cementbouw group is a major supplier of cement in the Netherlands.

The joint venture is a general building materials and DIY business.

When CRH did the deal it also got the right of first refusal on the 55 per cent it did not own.

The group has flagged several times recently that it was in talks to buy this stake and the board again reiterated that it was in the final stages of doing the deal when it released interim results earlier this week.

In a statement yesterday CRH said that its "investment in the business amounts to approximately €184 million".

Cementbouw BV had earnings of €26.5 million last year on sales of €213 million.

"Cementbouw is a major Dutch trader in cement, fly-ash and aggregates and is one of the leading concrete producers in the Netherlands," CRH said yesterday in a comment on the overall group.

CRH said that the existing management would continue to run the business.