CRH confirms talks to acquire Lafarage, Holcim assets

Rumours, first reported by Reuters, suggested that CRH was battling against a consortium led by investment giant Blackstone for the assets and was the "front runner" having bid €6bn.

The Blackstone consortium, which includes Cinven and Canadian pension fund CPP, is reported to have tabled an offer of €5.5bn.

CRH released a statement on Thursday afternoon, noting the recent press speculation, saying: "While there can be no certainty that these discussions will result in a transaction, if an acquisition was to proceed, it is likely that it would be funded through a combination of existing cash balances, debt and an equity placing."

French cement firm Lafarge and Swiss counterpart Holcim must sell a number of assets for their proposed tie-up to go through.

The merger, first announced last year, will create the world's largest cement maker with $44bn in sales per annum.

CRH's shares were up 1.9% at 1,628p by 16:20.