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ANALYSIS: The businesses of producers recorded an upward trend

The sales of the main manufacturers and suppliers of construction materials from Romania have followed an upward trend in 2014 over the previous year and the work in this field started under positive signs in 2015. Dominated by mergers, acquisitions and reorganization, the market is growing, all these transactions preparing a new period of development for the local construction industry. Overall, the construction sector in Romania, estimated at about 3.5 billion EUR annually, will increase slightly this year, mainly due to the demand recovery in the residential and commercial area, and plans to strengthen and expand the involvement of local producers on the external markets. An important trend observed in recent years in the area is the more obvious intention of producers to provide materials that require less effort for the assembly of the construction, so that the final price to be reduced as much as possible. Currently, most of the industry is integrated on the European level, given that the large part of activity belongs to large multinational groups.
The cement manufacturer Lafarge Romania will retain their more than 1,000 employees and the management team following the takeover by the Irish group CRH, generated by the merger transaction between Lafarge and Holcim. "There was no restructuring caused solely by the takeover. The quality of the teams was one of the most important criteria in the process of negotiating the acquisition by CRH. It will change only the name of the company and its shareholder", said Costin Borc, the CEO of Lafarge Romania. The package of companies and participations sold by the company to CRH include cement plants in Medgidia and Hoghiz, the grinding station from Targu Jiu, the 16 quarries and gravel pits as well as the 16 concrete plants held at national level. The legal entities that will enter into the componence of CRH during this year are: Lafarge (Cement) Romania SA, Lafarge Comnord SA, Lafarge Betoane, Lafarge Agregate Betoane SA, Lafarge RMX & Agregate, Sicim SA, Eco Gest SA si Recy - Eco Combustibil. In Romania, Lafarge has over 1,000 employees and coordinates aggregates production capacities of 3.5 million tons/ year, as well as cement - 4.9 million tons / year.
 

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