Huaxin Cement or Large-Scale Bid for Brazil Cement Business

MaticHoleFiller · 2026-03-24T02:07:28+00:00

China Conch Cement is negotiating with Brazilian investment company Votorantim SA to acquire the cement business of Brazil's state-owned steel company, valued at approximately $3 billion. CSN is facing financial difficulties and is evaluating the sale of stakes in its cement and infrastructure divisions, with the transaction expected to be completed in the third quarter.

MaticHoleFiller

2026-03-24 02:07:28

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(Source: Europe M&A and Investment)

Votorantim SA and China National Building Material Group are in talks to acquire cement operations of Brazil’s steel giant CSN

Image sourced from the internet

Brazilian investment firm Votorantim SA is negotiating to purchase the cement business of Brazil’s steel conglomerate CSN. Votorantim disclosed this news in a press release.

The deal is valued at approximately $3 billion.

Due to an 11% increase in debt obligations to 41.2 billion reais (about $8 billion) in Q4 2025, CSN is currently facing severe financial difficulties.

CSN has hired an investment bank as an advisor to evaluate options for selling a significant stake in its infrastructure and logistics divisions, as well as its cement business.

CSN expects to complete the transaction in Q3 and plans to secure a loan of $1.3 to $1.5 billion using shares of its cement division as collateral.

Analysts note that Votorantim will need to form a consortium to obtain approval from Brazil’s antitrust regulator Cade. Meanwhile, Votorantim plans to retain assets in smaller market areas, while partners will hold stakes in stronger market companies. China National Building Material Group may not join this consortium.

China’s CNBM entered the Brazilian market at the end of 2024 by acquiring Embu SA Engenharia e Comercio for $186 million. The company owns four quarries in São Paulo state, focusing on the production of aggregates for civil engineering.

China National Building Material Co., Ltd. is a Chinese manufacturer of cement and other building materials, headquartered in Wuhan.

Votorantim SA is a Brazilian investment company involved in building materials, finance, energy, aluminum production, and infrastructure. It manages assets across 19 countries and employs over 61,000 people. Its subsidiaries include Votorantim Cimentos, Nexa, and Auren Energia.

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