By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-Top two (2) world Cement producers, Lafarge and Holcim said on Wednesday they have received clearance from the Competition Commission of India (CCI) for their proposed merger.

“A package of asset divestments has been agreed with the CCI which includes 1 cement plant and 1 grinding station from Lafarge (with a total of approximately 5 million tonnes annual cement capacity)* in Eastern India,” a joint statement from both firms said.

The statement affirmed that India is an important market for the future LafargeHolcim Group with a balanced portfolio in cement, aggregates, and ready-mix concrete. The combined Group will have a cement capacity of around 68 million tonnes in India.

According to both cement producers, the divestment process will be carried out in the framework of the relevant social processes and ongoing dialogue with the employee representatives’ bodies.

The statement further affirmed that the divestment process will be completed subject to the closing of the merger between Lafarge and Holcim.

“As announced, the closing of the planned merger is expected in July 2015, aiming to create the most balanced and diversified portfolio in the industry, operating in 90 countries and creating superior value for all its stakeholders,” LafargeHolcim Group added.

The proposed assets for disposal include Sonadih cement plant and Jojobera grinding station.