Lafarge nears $700 mln sale of North American gypsum unit -sources

Mon Jun 24, 2013 7:32am EDT
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NEW YORK/LONDON June 24 (Reuters) - Lafarge, the world's largest cement maker, is close to selling its North American gypsum business to U.S. private equity firm Lone Star in a deal worth about $700 million, two sources with knowledge of the matter told Reuters.

The French cement maker's North American gypsum business, which produces plasterboard, generates earnings before interest, tax, depreciation and amortisation (EBITDA) of around $75 million and also attracted bids from other private equity firms, one of the sources said.

A deal could be announced as early as this week, said the sources, cautioning that negotiations with Lone Star had not yet been fully finalised and could still fall apart.

Lafarge declined to comment. Lone Star was not immediately available for comment.