Cementos Argos Cut to ‘Sell’ at Interbolsa After Asset Sale
Cementos Argos SA (CEMARGOS), Colombia’s biggest cement maker, was cut to “sell” from “buy” at Medellin-based brokerage Interbolsa SA, which cited a lower-than-expected price for the sale of its coal assets.
Cia. Vale do Rio Doce, the world’s largest iron-ore supplier, said yesterday it agreed to buy coal mines and railroad rights from Cementos Argos for about $373 million.
That compares with Interbolsa’s estimate of $666 million, analysts wrote in a note to clients today, describing the deal as a Christmas present for Rio de Janeiro-based Vale.
Cementos Argos fell 1.6 percent to 6,690 pesos in Bogota trading today. The stock probably will fall to 6,400 pesos by the end of next year, Interbolsa wrote.
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