Displaying items by tag: LafargeHolcim
Lafarge Zambia records 4% profit growth
15 September 2015Zambia: Lafarge Zambia's post-tax profit grew by 4% year-on-year to US$36,017 in the first half of 2015 despite economic challenges in Zambia and political uncertainties in the Democratic Republic of Congo, which constitutes the company's major export market. Lafarge Zambia recently merged with Holcim Construction Group, which reported a 14% increase in turnover to US$134,577 in the first half of 2015.
Lafarge Zambia said that electricity supply disruptions adversely impacted cement production in 2015. Company chief executive officer Emmanuel Rigaux said that domestic demand in the second half of 2015 is expected to continue to slow down until Eurobond proceeds are directed towards infrastructure and construction activity.
"Strong focus in the second half of 2015 will be placed on adjusting our cost base wherever necessary. Market activity was subdued in the first half of the year in the Zambian market and was negatively impacted by political uncertainties in the Democratic Republic of Congo, which constitutes our major export market. The successful issuance of the US$1.25bn by the Zambian government is expected to generate increased construction activity," said Rigaux.
Holcim Indonesia launches new cement plant in Tuban, East Java
15 September 2015Indonesia: PT Holcim Indonesia Tbk has launched its new US$800m, 3.4Mt/yr cement plant in Tuban, East Java.
Having started the construction five years ago, the plant is Holcim's first greenfield project in Indonesia. The plant will serve the East Java market and supply Sumatra and Kalimantan. With the new plant, Holcim Indonesia's cement production capacity has grown by 40% to 12.5Mt/yr.
"Currently, Holcim Indonesia is operating in an oversupply market and market slowdown. However, we believe that it is temporary as construction markets in developing countries are cyclical. The overall long-term macroeconomic fundamentals in Indonesia remain strong and the domestic economy will recover with the realisation of delayed infrastructure projects and housing," said Gary Schutz, CEO of Holcim Indonesia. "The new Tuban Plant completes our presence in Java as it will serves our markets better, ensures supplies and secures our position among the three biggest cement players in Indonesia."
LafargeHolcim distributes an exceptional scrip dividend
09 September 2015Europe: Following the successful completion of the LafargeHolcim merger, an exceptional scrip dividend of one new LafargeHolcim share for every twenty existing LafargeHolcim shares has been distributed to all LafargeHolcim shareholders. At the Extraordinary General Meeting on 8 May 2015, the group's shareholders voted in favour of an authorised share capital increase.
The last date to trade LafargeHolcim shares 'cum' scrip dividend was 7 September 2015. As of 8 September 2015, LafargeHolcim shares have traded 'ex' scrip dividend. The settlement and delivery of the newly issued shares will occur from 10 September 2015. No fractional LafargeHolcim shares will be issued. As a consequence, shareholders entitled to receive a number of LafargeHolcim shares not corresponding to a whole number will receive the rounded-down whole number of LafargeHolcim shares and the balance will be paid in cash. This will take place on 16 September 2015.
An application has been made for admission of the new LafargeHolcim shares to trade on the SIX Swiss Exchange in Zurich and on Euronext Paris. The newly-issued shares of LafargeHolcim will carry the same rights and obligations as the existing LafargeHolcim shares and will be fully assimilated with them.
For the purpose of the scrip dividend, 28,870,252 new LafargeHolcim shares, representing 5% of the LafargeHolcim share capital and voting rights as of 3 September 2015, will be issued.
Volcan could sell Polpaico stake
08 September 2015Chile/Peru: Peruvian mining company Volcan could sell its share in Chilean cement producer Polpaico if metal prices continue to fall, according to Volcan's CFO Jorge Murillo. Volcan could receive around US$27m for its approximate 20% stake in the business. Holcim, part of LafargeHolcim, owns 54.3% of Polpaico, which has 2.7Mt/yr of cement production capacity.
Holcim Liban net profits down 78% in first half of 2015
08 September 2015Lebanon: Holcim Liban has reported US$2m of unaudited net profits in the first half of 2015, a decrease of 78.3% from net earnings of US$9.4m in the same period of 2014. The company's sales fell by 28.5% year-on-year to US$66.7m in the first half of 2015. Its gross profits margin reached 28% compared to 30.7% in the first half of 2014. Holcim Liban's assets fell by 3% year-on-year to US$275m at the end of June 2015
Grupo de Oro and LafargeHolcim launch Holcim Fuerte brand in Mexico
03 September 2015Mexico: Grupo de Oro and LafargeHolcim Mexico have strengthened their strategic partnership with the launch of Holcim Fuerte branded cement in 2015. The development of the new product commenced in 2012 and has been tested in different projects prior to its commercialisation. The new cement is targeted for builders laying foundations and reinforcing walls and beams, according to Quadratin.
Ireland: CRH CEO Albert Manifold has said that the company will now take a pause from large-scale acquisitions following the completion of its US$7.3bn acquisition of various Lafarge and Holcim assets and its recent US$1.3bn acquisition of glazing products producer C R Laurence. Manifold was quoted by the Wall Street Journal as saying that significant acquisitions going forward are 'unlikely,' and that the company will focus on integrating its two big acquisitions over the next 12 - 18 months.
CRH had previously been linked with two other large-scale cement industry acquisitions. In India, it was in the running to acquire 5Mt/yr of Lafarge assets that have since been sold to Birla Group. Meanwhile, in South Korea CRH had been linked with the wholesale acquisition of Tongyang Cement & Energy. Due to Manifold's announcement, it appears that the South Korean deal is no longer on the table.
CRH first half results show increase in sales and earnings
27 August 2015Ireland: CRH has reported improved results for the first half of 2015. It reported that sales increased by 13% year-on-year to Euro9.4bn over its global operations. Although sales fell by 1% in Europe, they rose by 32% in the Americas. Earnings before interest, tax, depreciation and amortisation (EBITDA) from continuing operations were up by 29% globally, by 4% in Europe and by 57% in the Americas. CRH's profit before tax was Euro63m, a 3% improvement on its Euro61m pre-tax profit it made in the first half of 2014.
CRH reported that the acquisition of assets from Lafarge and Holcim were now fully integrated into CRH. It has also announced a further Euro1.15bn acquisition of US-based glass manufacturer C R Lawrence.
"We are on track to deliver another year of growth in 2015," said Albert Manifold, CEO of CRH. "Trading in the Americas has been good and, against a mixed macro-economic backdrop, underlying trading in Europe is broadly in line. We have made good progress towards achieving our goal of restoring margins and returns to peak over the cycle, with further margin improvement in each operating division. We are now applying CRH rigour to (our) new businesses to integrate them efficiently and to drive performance."
Philippines: Aboitiz Equity Ventures Inc, a Philippine investment holding company, has signed a US$400m loan to help fund the acquisition of the Philippine assets and business of cement maker Lafarge SA. The loan is being provided by The Bank of Tokyo-Mitsubishi UFJ Ltd.
Aboitiz Equity signed a deal with CRH in May 2015 to allow it to join the Irish building materials company in buying Lafarge's cement plants in the Philippines. CRH earlier agreed to buy the assets as part of Lafarge and Holcim assets that were due to be sold off prior to the formation of LafargeHolcim. Aboitiz Equity had said the investment is part of efforts to expand in infrastructure development.
LafargeHolcim launches second line at Tuban plant
24 August 2015Indonesia: LafargeHolcim has completed its Tuban project in Indonesia with the official opening of the second kiln line at the cement plant. The new plant, part of LafargeHolcim's subsidiary Holcim Indonesia, will allow the group to tap into key developing markets in Indonesia's East Java Province. LafargeHolcim says that the plant's coastal location and jetty provides it with the flexibility to ship products to other important inter-island markets including Sumatra, Kalimantan and Sulawesi.
With the completion of the project, the construction of which was launched in 2011, LafargeHolcim says that it will be able to 'leverage its new footprint and asset base in Indonesia and in future thrive in a low investment environment.'
LafargeHolcim states that the Tuban facility is a state-of-the-art plant, which allows for the highly-efficient production of cement and better distribution. The plant has an annual cement capacity of 3.4Mt/yr and is located in Eastern Java around 200km from the city of Surabaya. The cement mill of the first line was put into commercial operation in December 2013 and the kiln followed in September 2014.