Cemex is selling its US reinforced concrete pipe making business, Rinker Materials, to Quikrete Holdings, Inc for approximately $500 million.
The deal includes an additional $40 million purchase price contingent on future performance.
The deal, subject to regulator approval is set to finalize during the first quarter of 2017.
The proceeds obtained from this transaction will be used mainly for debt reduction and for general corporate purposes.
Bank of America Merrill Lynch and Citigroup Global Markets are acting as financial advisors to Cemex in this transaction.