Business · Companies · 1 hr ago
Huaxin agrees to buy Brazil’s CSN Cimentos for 12.7 billion reais
China’s Huaxin agreed to buy nearly all of CSN Cimentos, the cement business of Brazilian steelmaker CSN.
The deal values the business at 12.7 billion reais, though the final amount may change with adjustments for debt and working capital.
CSN Cimentos is Brazil’s second-largest cement producer, with about 21% of the country’s market.
Huaxin’s purchase would mark the first entry by a Chinese cement producer into Brazil.
CSN says the sale is part of its effort to reduce debt and improve its finances.
The company has been seeking to sell the business as it faces pressure from a weak steel market and low-priced imports.
The transaction still needs approval from Brazil’s antitrust regulator, consent from its energy regulator and regulatory authorisations in China.
CSN expects the sale to close once those conditions are met.
CSN signed an agreement to sell its cement unit to China’s Huaxin Building Materials Group for R$12.7 billion.
The price is the unit’s enterprise value and may be adjusted before the deal closes.
The sale requires approvals in Brazil and China.
CSN says the transaction is part of its effort to reduce debt and address its capital structure.
Huaxin’s acquisition would mark China’s first entry into Brazil’s cement market.
- Who
- Brazil’s Companhia Siderúrgica Nacional (CSN) agreed to sell CSN Cimentos to China’s Huaxin Building Materials Group.
- What
- Huaxin is to buy shares in CSN Cimentos for an enterprise value of R$12.7 billion.
- When
- The agreement was signed on Saturday and disclosed on Sunday, November 8, 2026.
- Where
- Brazil; CSN Cimentos operates in the Brazilian cement market.
- Why
- CSN says the sale is part of its strategy to reduce debt and address its capital structure.
This story does not have two clearly opposing sides.
CSN decided to sell its entire cement business after dropping a plan to retain a minority stake.
CSN and Huaxin reached a share purchase agreement.
CSN disclosed the agreement to investors.
- Sale price
- R$12.7 billion enterprise value
- Buyer
- Huaxin Building Materials Group
- Stake
- 99.99 per cent of CSN Cimentos, according to SCMP
- Annual capacity
- 17 million tonnes of cement
- Market share
- About 21 per cent of Brazil’s cement market
- Required approvals
- Brazil’s Cade and Aneel, and regulatory authorizations in China
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What people are saying
The transaction constitutes an important step in the company's strategy aimed at reducing its debt and addressing its capital structure