Unión Andina de Cementos expands in the Chilean market
Peru-based Unión Andina de Cementos completed its $23 million acquisition of 100% stake of Cemento La Unión subsidiary in Chile.
The contract was signed on 11 December and is subject to compliance with conditions such as approval by the Chilean National Economic Prosecutor’s Office. Subject to approval, Unacem will own the 0.3Mta San Antonio plant. The company will also have a premixed concrete unit with concrete plants and trucks with a capacity of 336,000m3 per year.
Albagli Zaliasnik advised Unión Andina de Cementos S.A.A. (Unacem) with Rodrigo Albagli, Álvaro Rosenblut, Jorge Arredondo, David Ancelovici, Eduardo Anguita, Antonio Rubilar Suárez and Catalina Coddou.
Elton & Cía advised Cementos La Unión, S.A. with Rodrigo Monsalve Sandoval.
An Interview With Rodrigo Albagli, Managing Partner at Albagli Zaliasnik
How did you ensure this was the right deal for your client?
From what I understand, all our client’s objectives were met when they hired us to lead and prepare the procurement process. Unión and its controllers are happy with the teamwork and the result achieved from this transaction.
Did you face any challenges along the way and if so, how did you overcome them?
The main problem we faced was the arrival of COVID-19 in the middle of the due diligence process, which naturally forced us to review the transaction in all relevant aspects, also impacting the timeline. In the end, the parties were able to agree on reasonable adjustments that allowed us to close a successful transaction that met the objectives of both parties involved.
What are your top tips when working on a deal similar to this, to ensure it ends successfully?
My main tasks are related to assuming a partner role in the transaction, having a business view aligned with the client’s objectives and working as a team with all areas of the firm to deliver full and strategic advice to achieve a takeover of the target reducing legal, regulatory, and reputational risks to a minimum.
In addition, it is important to highlight that today in these due diligence processes it is necessary to include compliance provisions to ensure that the target complies with the criteria of corporate criminal liability.