updated 10/27/2006 9:57:34 AM ET 2006-10-27T13:57:34

Mexican cement manufacturer Cemex SAB de CV said Friday it will offer about $11.7 billion in cash for Australian heavy building materials maker Rinker Group Ltd.

Cemex said the deal would create one of the world’s biggest building materials companies with revenue of $23.2 billion and more than 67,000 employees in more than 50 countries.

Cemex said it planned to offer $65.00 in cash for every American depository receipt, a 22 percent premium over the stock’s closing price of $53.40 on Thursday on the New York Stock Exchange.

The Mexican company would also assume about $1.1 billion in Rinker debt in the deal.

Cemex said it expects an acquisition to immediately add to earnings per share with $130 million in pretax savings by the third year following the deal.

Copyright 2006 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Discussion comments


Most active discussions

  1. votes comments
  2. votes comments
  3. votes comments
  4. votes comments

Data: Latest rates in the US

Home equity rates View rates in your area
Home equity type Today +/- Chart
$30K HELOC FICO 3.79%
$30K home equity loan FICO 4.99%
$75K home equity loan FICO 4.69%
Credit card rates View more rates
Card type Today +/- Last Week
Low Interest Cards 13.83%
Cash Back Cards 17.80%
Rewards Cards 17.18%
Source: Bankrate.com