The acquisition marks a significant expansion for the parties into the Western Australian building materials sector through the acquisition of BGC’s cement production facility and several concrete plants across the Perth region.
Cement Australia is a joint venture of Holcim Australia and Heidelberg Materials.
BGC was founded in 1959 as a property development and building company and grew to become a fully integrated construction business. Focused on the West Australian market, the BGC cementitious portfolio comprised cement, concrete, quarry and transport assets and operations.
Following a detailed review, the ACCC cleared the deal recognising that it was unlikely to substantially lessen competition in the supply of cement and concrete products in Western Australia and nationally. G+T advised Cement Australia, Holcim Australia and Heidelberg Materials throughout its development and execution of the ACCC strategy.
The G+T team acting for Cement Australia, Holcim Australia and Heidelberg was led by Competition, Consumer and Market Regulation partners Simon Muys and Jeremy Jose.
Simon Muys commented:
We are excited to have assisted Cement Australia and the joint venture parties in achieving this successful outcome, which faced complexities in the form of horizontal and vertical overlaps, extensive ACCC information requests and coordination of multiple parties and advisers. In the end, it was pleasing to achieve clearance in a timely way and at Phase 1 of the ACCC process.
