Swiss cement giant Holcim to spin off North American business

Swiss cement giant Holcim said Sunday it was planning to fully spin off its North America business, and also announced it would appoint a new chief executive.

Holcim said in a statement that it intended to list its North American business in the United States during the first half of 2025 "with full capital market separation".

It said it would communicate about the final structure later this year, but that the move would create a leading pure-lay North American building solutions company.


Holcim said the plan was to "execute an accelerated growth strategy to achieve more than $20 billion in net sales" and industry-leading margins by 2030.

The company also announced that it would appoint Miljan Gutovic, who currently heads its European operations, to replace Jan Jenisch as chief executive officer from May 1.

Jenisch will remain on as chairman of the group and will lead the US listing process, it said.

Jenisch explained the spin off decision, pointing to Holcim's "superior earnings profile with industry-leading margins and a strong balance sheet".

"The success of our North American business makes it the leading pure-play building solutions company in the region," he said in the statement.

"With a US listing, we will unleash its full potential to be the partner of choice for our customers in one of the world's most attractive construction markets."

Following the spinoff, Holcim would meanwhile remain listed on the main SMI index on the Swiss stock exchange as a "leader in innovative and sustainable building solutions", the company said.

"The transaction is intended to unlock value by creating two distinct and compelling investment profiles with attractive shareholder returns," it said.