No one is going to argue with that.
Last year, LafargeHolcim – parent company of Aggregate Industries – decided to pull out of South East Asia and pay down debt, saying:
Our strategic decision to divest South East Asia was executed with very attractive valuations allowing us to achieve a new level of financial strength.
This week, part of that deal has fallen through, as competition authorities failed to approve the sale of the company's 86% stake in Holcim Philippines to San Miguel Corporation, leaving it with $2 billion less in cash to weather the coronavirus pandemic.
Only last month, LafargeHolcim revealed its Q1 results and claimed it was "well-positioned to weather the crisis", conceding however that "the biggest impact from COVID-19 is expected in Q2."
Putting a positive spin on this week's setback, the company said:
With today’s unprecedented global health crisis, the world has changed dramatically
Given today’s new reality, we have decided to no longer sell our business in the Philippines. The Philippines is one of the most high-growth countries in the Asia-Pacific region and we intend to maintain our leadership position there.
LafargeHolcim to keep Philippines business after San Miguel deal collapses https://t.co/sqIxXOqAAY pic.twitter.com/Ic6pycGxOB— Reuters (@Reuters) May 11, 2020
