Holcim, a Swiss company that makes building materials, plans to separate its North American business from its other business and list it on the New York Stock Exchange.
They expect the value of this business to be around $30 billion.
The company also announced that Miljan Gutovic will be the new CEO, replacing Jan Jenisch.
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- Holcim plans to spin off its North American operations in a New York Stock Exchange listing, aiming for a valuation of $30 billion.
- Miljan Gutovic was appointed as the new CEO, succeeding Jan Jenisch, in a significant leadership change.
- The strategic move aims to capitalize on the booming U.S. construction market and unlock the full potential of Holcim’s North American business.
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Holcim’s $30B Valuation: North American Spin-Off and New CEO Revealed
This change in leadership will occur on May 1.
They plan to complete the separation of the North American business in the first half of 2025.
Holcim aims to increase the sales of its North American business to over $20 billion annually, with an operating profit of more than $5 billion by 2030.
Holcim’s global business, which excludes North America, will continue to be listed on the Swiss stock exchange and will focus on building solutions, especially roofing products.
Holcim’s decision to separate its North American business comes from the belief that it was not valued as highly as its competitors.
The North American business accounts for a quarter of Holcim’s sales in the first nine months of 2023.
Still, its stock was trading at a lower price than other industry companies.
Holcim’s North American business has 16,000 employees across 850 sites.
It competes with companies such as Carlisle, RPM, Eagle Materials, and Summit Materials.
This business has experienced remarkable growth in recent years, with sales increasing by over 20% on average.
Holcim believes the North American business is too successful to be run only as a subsidiary, so they have decided to list it independently.
This move is considered significant in the construction industry.
Holcim’s decision to spin off its North American business and list it on the New York Stock Exchange is a bold move to unlock its full potential in a thriving market.
With a new CEO and ambitious financial targets, the company is poised for a significant transformation that could reshape its standing in the global construction industry.
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