Displaying items by tag: Sales
Jaypee Cement to sell 51% stake in Gujarat cement plant to Ultratech
11 September 2013India: Jaypee Cement plans to sell a 51% stake in its 5Mt/yr cement plant in Gujarat to Ultratech. The value of the deal has been placed at around US$633m. A Jaypee official described the deal as 'finalised' to the Press Trust of India.
Jaypee and Ultratech have been in negotiations over the deal for a year. Ultratech reported to the Bombay Stock Exchange in December 2012 that it had not issued any press releases on the rumoured sale in a bid to calm market speculation.
In 2008 the owner of Jaypee Cement, Jaiprakash Associates, purchased purchased Bina Power Supply (BPSL) from the owner of Ultratech, Aditya Birla Group.
Lafarge sells Honduras cement plant to Cementos Argos
03 September 2013Honduras: Lafarge has sold its cement operations in Honduras to Cementos Argos for Euro232m. Sold assets include a 1Mt/yr cement plant and a 0.3Mt/yr grinding plant. The sale is subject to regulatory approval.
The transaction had a total enterprise value of Euro435m based on a 2012 earnings before interest, tax, depreciation and amortisation (EBITDA) multiple of 8.6. Lafarge owns 53.3% of its Honduran subsidiary, Lafarge Cementos SA de CV.
Oyak plans to sell 24% stake in Aslan Beton to Aslan Çimento
21 August 2013Turkey: Turkish cement producer Aslan Çimento said its parent company Oyak has proposed to sell its 24.24% stake in Aslan Beton to Aslan for US$4.52m.
After the acquisition, Aslan Beton will become a wholly-owned unit of Aslan Çimento while Aslan Beton, As-san Insaat, Birtas Birlik Insaat and Marmara Madencilik will be merged under the control of Aslan Çimento, Aslan Çimento said in a bourse filing. The managing board of Aslan Çimento will now assess the proposed move.
Holcim Indonesia sells less amid temporary overcapacity
02 August 2013Indonesia: Holcim Indonesia has reported that market oversupply has caused lower cement sales in the first half of 2013 than in the first half of 2012. Sales volumes dropped by 1.3% to 4Mt between January 2013 and June 2013.
"The company had foreseen the contraction after a similar dip in the first quarter, the first time after eight consecutive quarters of growth," said Holcim Indonesia's president director Eamon Ginley.
In the first quarter, Holcim Indonesia reported that its cement sales volume had declined by 1.6% to around 2Mt. Ginley said the condition was temporary as demand would continue to increase over the medium to long terms, citing government and private sector investments in infrastructure and housing.
Indonesian cement sales growth slows in H1
17 July 2013Indonesia: Indonesian cement sales growth has fallen to 7.5% at 27.8Mt for the first six months of 2013 from 25.9Mt in the same period in 2012, according to the Indonesian Cement Association (ASI). Year-on-year sales grew by 15% for the January to June period between 2011 and 2012. The deceleration in cement sales is expected to continue in the second half of 2013 due to a reduction in infrastructure development.
Reasons for slower national growth in the first half of 2013 include fewer infrastructure projects, falling commodity prices that have affected development in resource-rich provinces and more frequent rain, according to ASI chairman Widodo Santoso. Sales in Java, the main driver of growth in the first months of 2013, rose by 9.2% to 15.5Mt. Meanwhile, sales outside Java rose by 5.38% to 12.4Mt.
State-owned cement producer PT Semen Indonesia said that the 7.5% growth in nationwide cement sales was still higher than sales growth before 2011. Figures from the ASI showed domestic cement sales rose 14.5% in 2012, 17.7% in 2011, 6% in 2010 and only 0.9% in 2009.
Pakistan: Domestic cement sales in Pakistan reached 25.1Mt in the 2012 – 2013 fiscal year that ended on 30 June 2013, according to data released by All-Pakistan Cement Manufacturers Association Pakistan (APCMA). This is the first time domestic sales of cement in the country have risen above 25Mt/yr. In 2011 – 2012 domestic cement sales stood at 24Mt.
Overall the industry despatched 33.4Mt of cement in the 2012 – 2013 year, with 8.3Mt exported. This is below the record of total cement sales set in 2009 – 2010 of 34.2Mt with 10.7Mt of exports. Data for June 2013 showed that construction activities slowed down, following the Pakistan general election in May 2013. Domestic cement despatches declined by 3% to 2.21Mt in June 2013 from 2.29Mt in June 2012. Exports fell by 9% to 0.67Mt from 0.73Mt.
A spokesman for APCMA hoped that the current fiscal year would lead the cement industry to high productivity as the new government is giving due importance to infrastructure and accelerated economic growth. He added that with proper planning and prudent economic policies, Pakistan has the capability to consume its entire installed cement production capacity of 44.7Mt/yr.
India: HeidelbergCement India sold a grinding plant in Raigad, Maharashtra to JSW Ispat Steel for an undisclosed sum. The announcement was made at the Indian cement producer's annual general meeting on 16 May 2013.
HeidelbergCement India also announced that its shareholders have given it approval for raising funds of up to US$340m through borrowings.
India: HeidelbergCement India will sell its 0.6Mt/yr cement grinding unit in Raigad, Maharashtra, to JSW Ispat Steel, part of the JSW Group.
"The disposal is in line with HeidelbergCement's philosophy of divesting less strategic assets with lower margins to focus on more strategic and key operations in central India where the company had recently expanded its cement capacity from 2Mt/yr to 5Mt/yr," said Ashish Guha, chief executive and managing director of HeidelbergCement India, in a statement.
The parties are negotiating and finalising the terms of the business transfer agreement, HeidelbergCement India said in a regulatory filing. The transaction will be finalised only after obtaining all relevant approvals, including that of shareholders.
Indocement losing market share in Q1
22 May 2013Indonesia: Indocement Tunggal Prakarsa, a leading Indonesian cement producer, saw its market share fall from 32.5% to 30.6% in the first three months of 2013. A report by the Jakarta Globe attributed the decline due to other cement producers raising their production levels to match growing infrastructure development programs in the country. However, Indocement said that it actually believed in protecting margins rather than increasing its sales.
The HeidelbergCement subsidiary saw its domestic sales increase year-on-year by 2.1% to 4.2Mt for the first three months of 2013. However, the Indonesian cement industry as a whole saw sales volumes of cement rise by 8.6% to 13.6Mt for the quarter.
"Our competitors have managed to add to their cement production capacity, thus resulting in our sales volume being not quite as high as expected," said Indocement's Finance Director Tju Lie Sukanto.
Lafarge sells 14% stake in India for Euro200m
15 May 2013India: Lafarge has signed an agreement to sell a 14% minority stake in its Indian subsidiary, Lafarge India, for Euro200m to Baring Private Equity Asia. The transaction, which is subject to the approval of local regulatory authorities, is intended to accelerate Lafarge's growth plans in India in all its product lines, inlcuding cement, aggregates and concrete.