Putney Capital Management, LLC announced Tuesday the acquisition of one of the main terminals for the reception, storage and distribution of cement in Puerto Rico, for $34 million.
The investment was made in partnership with Colombia’s Cementos Argos, the fifth largest producer of cement in Latin America, and the second largest in the southeast of the United States with operations in Colombia, Central America, the U.S. mainland and the Caribbean. The terminal has a 250,000 metric ton/year capacity and approximately 20 percent market share in Puerto Rico.
“We’re thrilled to partner with Cementos Argos,” said Rafael Vélez, managing partner of Putney. “Argos is an exceptional company, with a demonstrated track record of sustained operational excellence, financial strength and strong corporate governance. Putney looks forward to a long and successful partnership with Argos and will continue to explore joint opportunities in the future.”
Putney is an asset management firm, affiliated partner of VICINI, focused on the industrial and energy sectors throughout the Caribbean, Central America and Andean region. Putney was founded in 2007 with offices in Santo Domingo, Dominican Republic and San Juan.
“We’re delighted to be partnering with Putney on this investment. With this transaction, we’re entering a new market that is closely tied to the U.S. economy, that currently consumes close to 650,000 tons of cement per year and whose growth prospects are being driven by the latent recovery and the new programs aimed at stimulating investment in Puerto Rico,” said Jorge Mario Velásquez, CEO of Argos. “The acquisition strengthens our position as leader in the region.”
Cobaltum Partners acted as exclusive financial advisor to Putney. Foley & Lardner, OMG and Fiddler, Gonzalez & Rodriguez acted as legal advisors to Putney.