Lafarge/Holcim back on track, but a long process

The Wall Street Journal (WSJ) reports that the Lafarge/Holcim merger, an estimated $44 billion deal, is back on track after the appointment of a new chief executive for the combined group. Eric Olsen, who currently serves as Lafarge’s executive vice president of operations, has been chosen to run LafargeHolcim when the union is completed in July.

The newspaper reports Olsen has the backing of some of the most important shareholders. But, says WSJ, “there remains some lingering investor discontent, which could yet make the vote on the deal at Holcim’s shareholder meeting, slated for May 8, a tense one.”

Reuters news agency quotes Olsen as saying Lafarge and Holcim will need from 12 to 18 months to complete the integration of the two companies following closure of the deal.

These reports suggest that after some signs the deal could be following apart, the hiring of Olsen has the merger back on track. And, yet, it may be a year or more before a clear picture of the new company emerges.