Holcim secures EU approval for €1.85 billion Xella acquisition

Friday 12 June 2026 - 17:15

Swiss building materials group Holcim AG has received conditional approval from European Union regulators for its €1.85 billion acquisition of German company Xella, marking a significant step in the consolidation of Europe’s construction materials sector.

The approval, granted by the European Commission, comes with conditions requiring Holcim to divest certain assets in Romania in order to address competition concerns. Regulators said the commitment was necessary to ensure fair market conditions in the affected regions.

The acquisition, first announced in October of the previous year, is part of Holcim’s broader strategy to diversify its activities beyond traditional cement production and strengthen its position in the growing European building renovation and refurbishment market.

Industry analysts note that the European refurbishment sector represents a significant opportunity, valued at around €250 billion annually, driven by increasing demand for energy-efficient buildings and infrastructure upgrades across the continent.

Holcim, one of the world’s leading cement producers, has been actively reshaping its portfolio in recent years, shifting toward higher-margin and more sustainable construction solutions. The Xella deal is expected to reinforce its presence in walling systems and building materials, complementing its existing operations.

The transaction still requires completion of regulatory conditions, but the approval represents a key milestone for Holcim as it seeks to expand its footprint in Europe’s evolving construction industry landscape.