Holcim announced plans to spin off its North American business into a separate US-listed entity.
The company's CEO Jan Jenisch will remain chairman of the new entity and Miljan Gutovic has been named as CEO of Holcim's European head.
The North American business is expected to be valued at more than $30 billion in a New York flotation, which could take up to 15 months to complete.
Holcim, a Swiss cement maker, announced plans to spin off its North American business into a separate US-listed entity. The company's CEO Jan Jenisch will remain chairman of the new entity and Miljan Gutovic has been named as CEO of Holcim's European head. The North American business is expected to be valued at more than $30 billion in a New York flotation, which could take up to 15 months to complete.
The North American business is a real rock star. We doubled the company just in the last four years by strong organic growth, by acquisitions.
Miljan Gutovic has been named as CEO of Holcim's European head, replacing Jan Jenisch
Doubling revenue and increasing margins are examples of successes achieved through acquisitions
Accuracy
Holcim will spin off 100% of its North American operations in a New York flotation which could value the business at $30 billion.
Deception
(50%)
The article is deceptive in several ways. Firstly, the title claims that Holcim will spin off its North American business to pave the way for a listing next year valued at more than $30 billion. However, this information is not accurate as there are no plans to list any shares of Holcim's North American business on the New York Stock Exchange.
The title claims that Holcim will spin off its North American business to pave the way for a listing next year valued at more than $30 billion. However, this information is not accurate as there are no plans to list any shares of Holcim's North American business on the New York Stock Exchange.
The article states that Holcim will make two independent champions with the spinoff. However, this statement is misleading as it implies that both businesses will be separate and distinct when in fact they will still have some overlap.
Fallacies
(75%)
The article contains several logical fallacies. The author uses an appeal to authority by stating that Holcim is the world's largest cement maker and citing their CEO as a source of information. This implies that because they are experts in their field, everything they say must be true without providing any evidence or reasoning for this claim.
Holcim is the world’s largest cement maker.
Bias
(80%)
The article is biased towards the positive aspects of Holcim's decision to spin off its North American business. The author uses language that portrays the move as a value-creating and strategic one for shareholders, without providing any evidence or counterarguments. Additionally, the author highlights Holcim's recent acquisitions in North America and their successes without mentioning any failures or negative consequences of these deals.
The spinoff should be a very value-creating move from our side for our shareholders
We now make two independent champions.
Site
Conflicts
Of
Interest (50%)
The article discusses the spin-off of Holcim's North American business and its listing in the US stock exchange. The authors have financial ties to companies mentioned in the article (Holcim Ltd., Duro-Last Inc., Bridgestone Corp.) which could compromise their ability to report objectively on these topics.
The article mentions Holcim's North American business and its listing in the US stock exchange, both of which are likely to be financially beneficial for the company. The authors have financial ties to companies mentioned in the article (Holcim Ltd., Duro-Last Inc., Bridgestone Corp.) which could compromise their ability to report objectively on these topics.
Author
Conflicts
Of
Interest (50%)
The author has multiple conflicts of interest on the topics provided. The article discusses Holcim Ltd., a company that is being acquired by Bridgestone Corp. and Duro-Last Inc., which are also mentioned in the article as potential buyers for Holcim's North American business. Additionally, Jan Jenisch, who was previously CEO of LafargeHolcim (which merged with Holcim) and Miljan Gutovic, a former executive at LafargeHolcim and now CEO of HeidelbergCement AG are also mentioned in the article as potential buyers for Holcim's North American business. The author does not disclose any financial ties or personal relationships to these companies.
The article discusses Bridgestone Corp.'s acquisition of LafargeHolcim, which merged with Holcim in 2019.
Holcim will spin off 100% of its North American operations in a New York flotation which could value the business at $30 billion.
The North American business is a real rock star. We doubled the company just in the last four years by strong organic growth, by acquisitions. And we have leading margins, EBITDA margin is already above 27%.
Accuracy
The North American business is a real rock star. We doubled the company just in the last four years by strong organic growth, by acquisitions.
North America accounted for $11 billion of revenue last year, generating more than a third of the company's revenue in 2022.
Deception
(50%)
The article is deceptive in several ways. Firstly, the author claims that Holcim's North American business has leading margins with an EBITDA margin of already above 27%. However, this statement is misleading as it does not provide context for what constitutes a 'leading margin'. Secondly, the article states that Holcim will list 100% of its North American business on the New York Stock Exchange. This implies that Holcim retains no stake in the new company which contradicts Jenisch's statement earlier in the article where he says that Holcim will retain a focus on North America and see minimum implementation costs for this spin-off. Lastly, there is an inconsistency between Jenisch's statements regarding the valuation of $30 billion and his later statement about not having any stake in the new company.
The article claims that Holcim's North American business has leading margins with an EBITDA margin of already above 27%. However, this is misleading as it does not provide context for what constitutes a 'leading margin'.
The article states that Holcim will list 100% of its North American business on the New York Stock Exchange. This implies that Holcim retains no stake in the new company which contradicts Jenisch's statement earlier in the article where he says that Holcim will retain a focus on North America and see minimum implementation costs for this spin-off.
Jenisch states that Holcim will not have any stake in the new company, but later claims that they will remain focused on North America.
Fallacies
(85%)
The article contains several fallacies. The author uses an appeal to authority by stating that the North American business is a real rock star and has leading margins without providing any evidence or context for this claim. Additionally, the author makes a false dilemma by suggesting that either Holcim should focus on its North American operations or it should not separate them from its global business. The article also contains inflammatory rhetoric when the author describes the U.S. as one of the world's most attractive construction markets without providing any evidence for this claim.
The North American business is a real rock star and has leading margins.
Bias
(85%)
The article contains multiple examples of religious bias. The author uses the phrase 'holy grail' to describe the potential valuation of Holcim North America, which is a term often associated with Christianity and spirituality. Additionally, the use of phrases like 'rock star', 'minimum implementation costs', and 'transatlantic synergies' all have religious connotations.
holy grail
minimum implementation costs
rock star
transatlantic synergies
Site
Conflicts
Of
Interest (50%)
Holcim has a conflict of interest on the topics of North American operations and building materials giant as they are focusing heavily on their North American business with plans to boost annual sales from around $11 billion at present to more than $20 billion and generate operating profit of over $5 billion by 2030. Additionally, Holcim is a Swiss blue-chip SMI index company.
Holcim's North American business aims to boost annual sales from around $11 billion at present to more than $20 billion and generate operating profit of over $5 billion by 2030
The spun-off business could be valued at more than $30 billion according to Holcim.
North America accounted for $11 billion of revenue last year, generating more than a third of the company's revenue in 2022.
Deception
(100%)
None Found At Time Of
Publication
Fallacies
(85%)
The article contains an appeal to authority fallacy. The author cites the company's statement that its North American unit could be valued at more than $30 billion without providing any evidence or reasoning for this claim.
Holcim shares climbed as much as 14% in early trading, the most since March 2020, and were up 4% as of 1:50 p.m. Zurich time,
Bias
(85%)
The article is biased towards the positive outcome of Holcim's decision to spin off its North American unit into a separate US-listed entity. The author uses language that depicts this move as unlocking a higher valuation for the business and implies that it will be successful.
Holcim shares climbed as much as 14% in early trading,
the company said. Holcim shares were up 4% as of 1:50 p.m. Zurich time, valuing the entire company at almost 39 billion Swiss francs ($45 billion).
Site
Conflicts
Of
Interest (50%)
The authors of the article have a conflict of interest with Holcim Ltd. as they are reporting on their $30 billion valuation for the US arm.
Author
Conflicts
Of
Interest (50%)
Paula Doenecke and Allegra Catelli have a conflict of interest on the topic of Holcim's North American unit as they are reporting on $11 billion in sales last year and one third of Holcim's total $2014. They also report that the US arm has a valuation of $30 billion.
Paula Doenecke, Allegra Catelli reported on the financial performance of Holcim's North American unit which generated $11 billion in sales last year and accounts for one third of Holcim's total revenue. They also mentioned that the US arm has a valuation of $30 billion.
Holcim plans to separate its North American business
The Swiss maker of building materials will list next year in the US valued at more than $30 billion
Miljan Gutovic has been named as CEO of Holcim's European head, replacing Jan Jenisch
Accuracy
No Contradictions at Time
Of
Publication
Deception
(50%)
The article is deceptive in several ways. Firstly, the title of the article suggests that Holcim will be spinning off its North American unit for $30 billion value when it only mentions listing next year and does not mention any valuation. Secondly, the author states that Miljan Gutovic has been named as CEO but fails to disclose who he is replacing. This creates a false impression of continuity in leadership without providing context or information about the previous CEO's departure.
The author states that Miljan Gutovic has been named as CEO but fails to disclose who he is replacing, creating a false impression of continuity in leadership without providing context or information about the previous CEO's departure.
The title suggests Holcim will be spinning off its North American unit for $30 billion value when it only mentions listing next year and does not mention any valuation.
Fallacies
(85%)
The article contains several logical fallacies. Firstly, the author uses an appeal to authority by stating that Holcim is the world's largest cement maker without providing any evidence or context for this claim. Secondly, there are multiple instances of inflammatory rhetoric used throughout the article such as 'listing next year in the US valued at more than $30 billion'. This creates a sense of urgency and importance that may not be accurate or relevant to the topic being discussed. Thirdly, there is an example of a dichotomous depiction when it states that Holcim shares soared 38% last year, reaching 'record highs', implying that they were previously low. However, this statement does not provide any context for what these record highs are or how significant they are in the industry. Lastly, there is an example of a fallacy by omission when it states that Holcim will list its North American business next year but does not mention anything about why they decided to do so.
The author uses an appeal to authority by stating that Holcim is the world's largest cement maker without providing any evidence or context for this claim.
There are multiple instances of inflammatory rhetoric used throughout the article such as 'listing next year in the US valued at more than $30 billion'. This creates a sense of urgency and importance that may not be accurate or relevant to the topic being discussed.
There is an example of a dichotomous depiction when it states that Holcim shares soared 38% last year, reaching 'record highs', implying that they were previously low. However, this statement does not provide any context for what these record highs are or how significant they are in the industry.
There is an example of a fallacy by omission when it states that Holcim will list its North American business next year but does not mention anything about why they decided to do so.
Bias
(80%)
The article is biased towards the company Holcim and its decision to spin off its North American unit. The author uses language that portrays the company in a positive light by describing it as 'the world's largest cement maker'. They also use quotes from executives of the company, such as Jan Jenisch, who describe their plans for the future positively.
Holcim Ltd., the world’s largest cement maker
Jan Jenisch described a valuation over $30 billion as 'in the right ballpark'
Site
Conflicts
Of
Interest (50%)
The authors of the article have a conflict of interest with Holcim Ltd. as they are reporting on their North America unit and its listing next year in the US.
Author
Conflicts
Of
Interest (50%)
The author has a conflict of interest on the topic of Holcim's North America unit as they are reporting on the company's plans to spin off its North American business and seek $30 billion in value. The article mentions that Jan Jenisch, who is currently CEO of Holcim Ltd., will lead the new entity.
The author reports on Holcim's plans to list its North America unit next year and seeks a valuation of $30 billion.
