Venezuela to seize cement plants

[frigidmagi]

BBC

Venezuela has said it will seize local plants and offices belonging to Mexican cement giant Cemex, as it proceeds with nationalising its cement industry.

Cemex's Swiss and French rivals Lafarge and Holcim have agreed to hand control of their local subsidiaries to Caracas.

However, a deal with Mexico's Cemex "hasn't been possible", said Venezuelan Vice-President Ramon Carrizalez.

Venezuela has begun nationalising several industries as part of a drive toward "21st-Century socialism".

Mr Carrizalez said that Venezuela had acquired 89% of Lafarge's Venezuelan operations for $267m and paid $552m for 85% of Holcim's local unit.

The two firms have signed agreements setting out the process for transferring shares to the government.

Mr Carrizalez said Cemex had asked for $1.3bn for its Venezuelan operations.

A spokeswoman for Lafarge earlier said that the company was working to protect the interests of shareholders and staff based in the country.

'Excessive profits'

Venezuelan President Hugo Chavez has accused foreign cement firms of demanding excessive profits and selling their cement overseas.

Taking them over, he said, would allow his government to make faster progress with plans to end a massive housing shortage.

"We're going to lower the costs of cement, the costs for building housing," he said in a televised address on Monday.

Banking and telecommunications industries are also set to be taken over by the state.

Oh Yeah because Nationalizations in order to create a new Socialist society worked so well last time.

[SirNitram]

Can they take the American securitization firms?

Like, now?

That'd be funny.

[frigidmagi]

Dude, I would pay Chavi to take Blackwater. Pay him in Euros if I had to.

[SirNitram]

I meant the firms that bundled all the bad loans so they could be sold.

But I've got a better idea, we sic Blackwater on the financial sector!