DLA Piper with Heidelberg Materials on sale of 91% of its cement production to West China Cement

DLA Piper has advised Heidelberg Materials on the sale of 91% of its shares in Cimenterie de Lukala (CILU), held through its Scandinavian subsidiaries, to West China Cement. The transaction was signed in January 2025 and has now been successfully completed. West China Cement is also acquiring the shares in CILU previously held by the International Finance Corporation (IFC).

Heidelberg Materials is one of the world’s largest building materials companies, headquartered in Heidelberg. The group operates in over 50 countries and offers a broad range of products including cement, concrete, and aggregates.

CILU is a company based in the Democratic Republic of Congo (DRC) that primarily operates an integrated cement plant in Lukala and is engaged in the production and distribution of cement, cement clinker, and limestone powder. With over 100 years of experience and strong brand recognition, CILU is among the leading players in the cement market in Central Africa.

West China Cement Group is one of the leading cement producers in Shaanxi Province and maintains a strong market position in East and South China as well as in Mozambique, the DRC, and Ethiopia. The company’s shares are listed on the Main Board of the Hong Kong Stock Exchange. West China Cement was advised by Slaughter & May on the CILU acquisition.

The transaction is part of Heidelberg Materials’ strategic focus on optimizing its portfolio and concentrating on core markets.

The cross-border team from DLA Piper’s offices in Germany, Belgium, and Hong Kong was led by Partner Dr. Christoph Dachner (Munich) and Client Relationship Partner Dr. Benjamin Parameswaran (Hamburg, both Corporate) (BOTH PICTURED, RIGHT AND LEFT). They were supported by Partner Semin O (Frankfurt) and Counsel Dr. Enno Ahlenstiel (Cologne, both Antitrust) as well as Senior Associate Tommy Lam (Hong Kong, Corporate) in the core team.

In addition, DLA Piper’s partner firm KMK Africa supported the transaction with Partners Yves Brosens and Pierre Vanholsbeke serving as local counsel in the Democratic Republic of Congo.

The DLA Piper team worked closely with Dr. Inken Linder, Global Lead Counsel Legal M&A at Heidelberg Materials.