Chilean natural gas distributer Gasco, controlled by local energy holding group CGE, will launch a road show on December 15 to begin the sale of its 40.9% stake in Chilean cement company Polpaico.
Gasco will grab close to US$137mn through the sale, shedding 7.31mn shares, according to local daily Diario Financiero. The move is expected to be finalized between the end of December and early 2011.
The gas firm is looking to strengthen its business in both Chile and Colombia, and will use close to 80% of the funds from the sale to carry out investments in Colombia, specifically in Autogasco and local businesses.
Gasco was a minority stakeholder in Polpaico, and the cement firm was not a part of its core business, Gasco GM Gerardo Cood was reported as saying. The executive added that the firm will turn its efforts towards companies and investments that are part of the CGE group or that will allow it a controlling stake.
On both a regional and national level, the company will focus on investments in natural gas and LGP, according to the paper.
Polpaico, controlled by Swiss group Holcim, makes up roughly one-third of the Chilean cement market.