Readymix confirms possible bid

Readymix said it has been approached by a Spanish subsidiary of Cemex with a possible takeover bid.

In a statement this morning, the company said Readymix Investments, which is a wholly owned indirect subsidiary of Cemex España, is prepared to offer 22 cent per share in cash for shares not already owned by it or another member of the Cemex group.

Talks have begun with ReadyMix Investments, the company said. However, it warned that the approach was "preliminary in nature" and said there could be no certainty that an offer will be made.

Cemex currently owns 62 per cent of Readymix.

"Cemex is the only likely buyer of Readymix. It is the provider of finance to the Group, recently extending the credit facility to September 2014," NCB Stockbrokers said in a note. "Mopping up the minorities would allow Cemex greater financial flexibility in relation to cash flows."