"We believe Rinker offers Cemex significant potential synergy benefits and the quality of Rinker's assets and market positions in high growth markets is unmatched in the sector," he said in a research report.
A Rinker spokeswoman said the company was expected to make a statement before the stock exchanged opened on Monday morning.
"We have had a board meeting this weekend and the directors have been reviewing all of the documents. They will be having another board meeting on Monday morning," she said.
Rinker has appointed UBS as its financial advisers.
U.S PRIZE
The deal would give Cemex, already the top U.S. cement maker, even bigger operations there, as 80 percent of Rinker's earnings come from the United States.
It would also open the door for Cemex in the steady and sizeable market of Australia, and give it a foothold in China, where Rinker has four plants.
The managing director of funds manager Ausbil Dexia, Paul Xiradis, noted that the company's shares traded above A$20 a share in April of this year, and that a bid would likely need to be above A$17 a share to succeed.
"The free cash flow the company generates is pretty high and they do have very strong positions in the markets they are associated with, in the U.S. in particular," he said. "They are a prized asset."
Goldman Sachs JBWere said other potential bidders for Rinker were larger rival global cement companies Lafarge (LAFP.PA: Quote, Profile, Research) and Holcim (HOLN.VX: Quote, Profile, Research), with CRH Plc (CRH.I: Quote, Profile, Research) also a possibility.
It also suggested that as a defensive move, Rinker could attempt to make a take-over or agree a friendly merger with one of its U.S. peers such as Vulcan Materials (VMC.N: Quote, Profile, Research), Martin Marietta Materials (MLM.N: Quote, Profile, Research), or Florida Rock Industries (FRK.N: Quote, Profile, Research) he Cemex bid price values Rinker at an earnings before interest, tax, depreciation and amortisation (EBITDA) multiple of 9.2 times, based on earnings reported for the 2006 fiscal year, it said.
Cemex senior vice president corporate strategic planning, Juan Pablo San Agustin arrived in Sydney on Sunday morning, Australian Associated Press reported.
"We are more than willing to engage with them (Rinker management) whenever they feel appropriate," San Agustin told reporters.
($1=A$1.31)
RIN Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
