Holcim v. Venezuela

This dispute involved a claim by Holcim Limited, Holderfin B.V., and Caricement B.V. (collectively, “Holcim”) against the Bolivarian Republic of Venezuela. At issue was the compensation amount due Holcim as a result of the Venezuelan government nationalizing the assets of several construction firms, including cement maker Holcim Venezuela, C.A. (“Holcim Venezuela”), in June 2008.

Econ One was asked to assist counsel for Venezuela in an ICSID arbitration brought by Holcim against the Venezuelan government demanding proper compensation for the nationalized assets of Holcim Venezuela. Russell Lamb and Juan Riveros calculated the value of the assets of Holcim Venezuela as of the date of nationalization. In September 2010, Holcim reached a settlement agreement with the Venezuelan government which set the terms for the compensation payment owed for the nationalization of Holcim Venezuela and suspended the international arbitration procedure pending before the ICSID. The agreed total compensation amount was $650 million, with a first down-payment of $260 million. The remaining compensation amount of $390 million will be paid in four equal yearly installments.