22 November 2023

Malaysia: UEM Group, a subsidiary of the Malaysian sovereign wealth fund, has revealed that it has shortlisted prospective buyers for Cement Industries of Malaysia (CIMA). The Edge Malaysia newspaper has reported that the list is comprised of four local entities, one entity based in China, one in Germany and one in the Philippines. None of the bidders is reportedly an existing competitor of CIMA in the Malaysian cement sector.

CIMA operates the 1.3Mt/yr Bahau cement plant in Negeri Sembilan. UEM group announced that it was seeking a buyer for the business in February 2023, at which time it was seeking a valuation of US$230m for it.

Europe: Ireland-based CRH has agreed to sell its European lime business to UK-based SigmaRoc for US$1.1bn. The business controls 16 sites across the Czech Republic, Germany, Ireland, Poland and the UK. CRH says that the first phase of the transaction, which is scheduled for completion in early 2024, will hand over control of the Czech Republic, Germany and Ireland businesses to SigmaRoc, while control of the Poland and UK business will pass over in two subsequent phases.

CRH chief executive officer Albert Manifold said “The decision to divest at an attractive valuation follows a comprehensive review of the Business and demonstrates CRH’s active approach to portfolio management. The proceeds from the divestment will provide us with significant additional capital allocation opportunities to deliver further growth and value creation for our shareholders.”

Spain: The Supreme Court of Spain ruled in favour of tax authorities in their pursuit of Cemex España for its accounting of reported losses in the 2006 – 2009 financial years on 21 November 2023. The authorities imposed a Euro456m fine on the company following an audit in July 2011.

Mexico-based Cemex said that is has ‘sources of liquidity’ available to pay the fine, which it now anticipates that it will do before the end of June 2024.

Cemex ‘categorically’ disagrees with the imposition of the penalty. The group maintains that the losses Cemex España declared were not used and since 2012 have not been accounted for in its financial statements.

Bolivia: The Federation of Private Entrepreneurs of Santa Cruz (FEPSC) and the United Nations Development Programme (UNDP) awarded the Sustainability Seal to Itacamba on 11 November 2023. Local press has reported that the award recognises the successes of the producer’s upgrade to the grinding unit at its Yacuses cement plant. The upgrade reduced the energy footprint of the plant’s cement by 1.5kWh/t and eliminated 0.3% of its total CO₂ emissions.

India: ACC has received a renewed licence for its Rajasthan limestone mine, allowing it to increase its extraction of limestone there to 1.5Mt/yr. Local press has reported that the mine presently produces 1Mt/yr of limestone for use at the company’s 1.5Mt/yr Lakheri cement plant in Bundi District.

Bolivia: Sociedad Boliviana de Cemento (SOBOCE) has successfully completed and launched its new brand redesign. The Periódico La Patria newspaper has reported that the company’s new logo comprises two circles forming an S, a ‘harmonious image’ which also implies the infinity symbol. The colour palette is green, because of its association with sustainability.

SOBOCE chief executive officer, Francisco Shwortshik said "SOBOCE has accumulated almost a century of history, in which time it has contributed significantly to the construction of this country, from its monumental works to the homes in which families have invested their dreams. But it also represents the future, a future marked by innovation and sustainability, and we wanted all this to be reflected in our new corporate image.”

France: Cemex’s venture capital unit Cemex Ventures has invested in construction value chain CO₂ emissions monitoring software developer Vizcab. Vizcab aims to help enable built environments to conform to stricter environmental regulations.

Head of Cemex Ventures Gonzalo Galindo said “Vizcab's exhaustive solution enables cooperation between different stakeholders to manage carbon strategies throughout a project's lifecycle, a critical challenge in our complex and interconnected industry. This solution also implements the use of building materials with sustainable attributes, such as Cemex's Vertua portfolio of products.”