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MEXICO CITY: Mexican building materials company Cemex said on Wednesday it would sell its operations in Costa Rica and El Salvador to Cementos Progreso Holdings, S.L. in a $335 million deal.

The assets being sold include one fully integrated cement plant, one grinding station, seven ready-mix plants, an aggregate quarry and a distribution center in Costa Rica and a distribution center in El Salvador.

The company, one of the world's largest cement makers, said it expects to finalize the transaction during the first half of 2022 with Cementos, which operates in five Latin American countries.

"This transaction allows us to progress in our portfolio rebalancing objectives, while redeploying resources to fund our growth investments and further deleveraging," Cemex Chief Executive Officer Fernando Gonzalez said in the statement.

The deal is subject to approvals in Costa Rica and El Salvador by competition authorities, Cemex added.

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