- CEMEX announced it has acquired a 51% stake in SHTANG Recycle LTD, a construction, demolition, and excavation waste recycling company in Israel.
- The acquisition will be integrated into CEMEX’s recently launched Regenera, a business that provides circularity solutions, including reception, management, recycling, and coprocessing of waste.
- This transaction reinforces CEMEX’s Future in Action strategy, strengthening its position in key markets through investments aligned with its commitment to a circular and sustainable future.
CEMEX announced that it has acquired a 51% stake in Israel-based SHTANG Recycle LTD, a construction, demolition, and excavation waste, (CDEW) recycling company. The acquisition aligns with CEMEX’s strategy to strengthen its business in developed markets through bolt-on acquisitions in businesses with strong circular and sustainable attributes.
The acquisition will form part of Regenera, CEMEX’s recently launched business that provides circularity solutions, including reception, management, recycling, and coprocessing of waste. SHTANG has been awarded a 13-year license to build and operate a CDEW recycling facility. The enclosed, state-of-the-art facility will be capable of processing approximately 600,000 tons of waste per year. The CDEW will be used by Regenera as raw materials for aggregate production, reintegrating them into the construction value chain.
“We are committed to continuing making investments that promote a more circular and sustainable construction industry, and strengthen our Urbanization Solutions business,” said Fernando A. Gonzalez, CEO of CEMEX. “Concrete is an infinitely recyclable material. Through smart CDEW management, we can reduce waste generation and produce building materials with more sustainable attributes.”
CEMEX’s Urbanization Solutions business has been a highlight of CEMEX’s recent performance. In its third quarter 2022 report, the company announced double-digit growth in both sales and EBITDA for this business. Through Regenera, CEMEX aims to serve a diverse client base which includes industrial, manufacturing, and waste collection companies, NGOs, and governments. Regenera provides sustainable solutions for three major waste streams: municipal and industrial waste, construction, demolition, and excavation waste (CDEW), and industrial byproducts. Regenera is present in CEMEX’s four regions: Mexico, the US, Europe the Middle East and Asia, and South-Central America and the Caribbean.
This acquisition supports Future in Action, CEMEX's program to achieve sustainable excellence through climate action, circularity, and natural resource management with the primary objective of becoming a net-zero CO2 company. It is also another example of the success of the company’s strategic growth strategy, through which CEMEX is optimizing its portfolio for EBITDA growth with bolt-on investments in its core businesses that leverage sustainability as a competitive advantage.
