Brazil's CSN receives offers for its cement unit, sources say

About this update from Companhia Siderurgica Nacional

By Luciana MagalhaesBrazilian steelmaker CSN BMFBOVESPA:CSNA3 received non-binding offers for its cement division on Friday, a deadline the company set as it pursues divestment, two people familiar with the matter said this week.The divestment is part of a broader strategy to reduce debt, and CSN has appointed Morgan Stanley as its financial adviser for the sale process.The cement unit could fetch over 10 billion reais ($2 billion), Reuters reported in April.The identities of the bidders were not known.But the April article found interest from both local and international players, including Brazil's Votorantim and J&F, which also controls meatpacker JBS. Chinese groups Anhui Conch Cement, Sinoma and Huaxin Cement were also interested, the article reported.CSN, Votorantim, J&F and Morgan Stanley declined to comment. Conch, Sinoma and Huaxin did not immediately reply to requests for comment.According to one of the sources and another person familiar with the situation, Votorantim and Conch had planned to bid, though the people could not confirm whether they did on Friday.A fourth person told Reuters that Huaxin, which acquired a Brazilian building materials firm in 2024, is still active in the process.A fifth source said J&F did not plan to submit an offer on Friday. One of the sources familiar with the submission of bids said the group's interest waned after CSN rejected an early offer from J&F.CSN Chief Financial Officer Marco Rabello told Reuters last month that a binding phase would start shortly after the receipt of non-binding offers and the selection of groups moving to the next phase.

View stock analysis, news, and events for Companhia Siderurgica Nacional