Readymix has entered into an arms length commercial agreement with CEMEX for the implementation and ongoing servicing of a proprietary business model and information technology systems.
The agreement also grants Readymix the right to use the CEMEX brand name and trademarks in Ireland.
Initially for a three year term, Readymix has the option of extending the agreement for a further five years. Readymix said that the cost of adopting the business practices and the technological platform has been estimated at €3.7m, with estimated annual running costs of €2.3m.
'In line with our commitment to the reshaping of the business and the delivery of a substantial improvement in the financial performance and market positioning of the company, the board has decided to implement the business model which has already been successfully proven on a global stage,' commented Readymix Chairman Adrian Auer.
Readymix recently announced results for the six months to 30 June 2006 which showed a 25% increase in operating profits to €10.1m.
