Irish CHR Divests 25% Share from Sole Israeli Cement Manufacturer
nsnbc : The Irish registered, international construction material corporation CHR reports that divests its 25% share in the Israeli Mashav Group, the holding company behind Nesher Cement, the sole cement manufacturer in Israel.
The report published by CHR does not explicitly state that the reason for its divestment from its Israeli operations is related to the growing international Boycott Divestment Sanctions campaign. It does, however, state that:
“Portfolio management, and in particular the reallocation of capital from lower growth areas into core businesses for growth, is a cornerstone of our value creation model…”
The Irish Palestine Solidity Campaign and the international BSD movement consider CHR‘s divestment from the Mashav Group / and by implication Nesher Cement as another product of years of education about the Israeli occupation, intensive lobbying as well as sustained protests.
As the sole Israeli manufacturer of cement, the Mashav Group and Nesher Cement fulfill critical functions in Israel’s construction of the illegal, so-called “security wall” that is built on Palestinian territory, and in the construction of illegal Israeli settlements and so-called “outposts”.
Nesher Cement is also the primary source of cement for the Palestinian Authority and Palestinian construction projects in both the West Bank and the Gaza Strip.
The Israeli government and the company have been widely criticized for abusing a “captive market”. A publication by Nesher from 2014 states that “Revenues from the Palestinian Authority, which is the largest customer of the company, are historically 20% of total revenues”. Nesher Cement has also been criticized for actively trying to deny Jordanian exporters access to the market by dumping prices.
The Irish registered CHR plc has its corporate headquarter in Dublin, Ireland. It is a leading diversified international building materials group, employing c.93,000 people at c.4,000 operating locations in 37 countries worldwide.
CHR has a market capitalization of c.€21 billion (Jan 2016). CRH is the largest building materials company in North America and the third largest worldwide.
The Group has leadership positions in Europe as well as established strategic positions in the emerging economic regions of Asia and South America.
CHR is a Fortune 500 company that is a constituent member of the FTSE 100 index and the ISEQ 20. CRH’s American Depositary Shares are listed on the NYSE.
CH/L – nsnbc 10.01.2016