Cement producer Lafarge has acquired the German firm of Finlatam for around $130 million.
The company is the owner of close to 99% of the shares of Cementos Selva Alegre, a major cement player in Ecuador.
Cementos Selva Alegre itself is ranked number two in the Ecuadorean market with a 20% market share. It owns a cement plant located some 110 km north of the capital, Quito, that has an annual production capacity of 640,000 tonnes.
With a population of nearly 13 million, Ecuador offers a growing market for cement that Lafarge estimates had a volume of around 3.2 million tonnes in 2003.
Towards the end of last year, Lafarge sold all its 40% stake in Carmeuse North America, a producer of lime and limestone products, to Carmeuse, for $140 million. Lafarge had been a minority shareholder within Carmeuse North America since 1998.