LafargeHolcim will sell its majority stake in Chile's Cemento Polpaico to investment firm Inversiones Caburga Ltda, whose interests include the Chilean ready-mix market through Cementos Bicentenario. 

Caburga, owned by the Hurtado Vicuna Group, agreed to buy the 54.3 per cent stake, which represents around CHF220m (US$225m), via a public tender offer, according to LafargeHolcim.

Cemento Polpaico operates one integrated cement works and two grinding units with a total cement capacity of 2.3Mta. In addition, the company runs 25 ready-mix plants and produces aggregates.

The deal’s completion would see LafargeHolcim exit Chile and be part of the company’s efforts to scale back its operations in a CHF5bn divestment programme by end-2017.

The cement major said the offer would be extended to all of Cemento Polpaico's shareholders and is subject to approval by Chile's competition authorities, which is expected in the first half of 2017.