Cemex waits for RI approval

Cemex waits for RI approval

MONTERREY, Mexico (Dow Jones): Cemex SA (CX) said it has no time frame to reach an agreement with the Indonesian government giving Mexico's largest cement producer a majority stake in Indonesia's state-owned Semen Gresik.

"It is very difficult to say when (an agreement) would be possible," said Rodrigo Trevino, Cemex chief financial officer. "As far as we're concerned, the sooner the better."

Cemex currently holds an approximately 25 percent interest in Semen Gresik.

"We are very interested clearly in having a more significant management role and buying a larger stake," but "we have to also be very much aware of the needs of the Indonesian government," Trevino told Dow Jones in an interview Tuesday.

An earlier effort by Cemex to assume a majority stake failed as the Indonesian government bowed to anti-privatization political pressure, allowing the sale of only 14 percent of the Semen Gresik to Cemex in September 1998. Cemex raised its stake by buying shares on the open market.