ICC Tribunal decision on Arbitration proceedings between CRH and Semapa in relation to Secil Portuguese joint venture
11 August 2011
Since 29 October 2009, when CRH last made an announcement on this matter, CRH and Semapa (SGPS, S.A.), CRH’s joint venture partner in the Secil joint venture, have been engaged in Arbitration proceedings to resolve disagreements between them which have culminated in an Award by an Arbitral Tribunal in Paris, functioning under the Rules of Arbitration of the International Chamber of Commerce (ICC) in accordance with the provisions of the Shareholders Agreement.
The Arbitral Tribunal has concluded in its Award that, while both parties have breached provisions of the Shareholders Agreement, Semapa’s exercise of a call option for the purchase of CRH’s 49% shareholding in Secil is valid. The parties are now obliged to complete the sale and purchase of CRH’s shareholding in Secil at an equity price of €574 million within 180 business days. The Arbitral Tribunal dismissed claims by Semapa for compensation.
CRH acquired a 49% shareholding with joint management control in Secil in June 2004 for an equity consideration of €329 million plus share of net debt at acquisition of approximately €100 million.
Contact CRH at Dublin 404 1000 (+353 1 404 1000)
|Myles Lee ||Chief Executive |
|Albert Manifold ||Chief Operating Officer |
|Maeve Carton ||Finance Director |
|Éimear O’Flynn ||Head of Investor Relations |
CRH plc, Belgard Castle, Clondalkin, Dublin 22, Ireland
TELEPHONE +353.1.4041000 FAX +353.1.4041007
E-MAIL email@example.com WEBSITE www.crh.com
Registered Office, 42 Fitzwilliam Square, Dublin 2, Ireland
Notes for Editors
Secil is a Portuguese manufacturer of cement and ready mixed concrete. Secil also has cement and ready mixed concrete operations in Tunisia and Lebanon and cement operations in Angola.
In 2010, Secil (100% basis) achieved EBITDA of €129 million on sales of €536 million. Net debt at 31st December 2010 amounted to €78 million.
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