Displaying items by tag: Oman

Oman: China-based Huaxin Cement has concluded a share purchase agreement with Omani sovereign wealth fund Oman Investment Authority (OIA) for the acquisition of a 60% stake in Oman Cement. ASDQ Financial News has reported the value of the deal as US$193m.

OIA director general of private ownership Ibrahim bin Said al Eisari said "This exit comes in accordance with a plan pursued by OIA aimed at achieving a number of goals, including attracting foreign investment to the sultanate. This will contribute to the development of operations at Oman Cement, increase the efficiency of its production lines and enhance its competitiveness locally and regionally, in addition to enhancing the positive image of the Omani industrial sector in general."

Oman: Oman Cement Company recorded cement sales worth US$173m in 2022. This corresponds to year-on-year growth of 42% from US$122m in 2021. Its cement sales volumes were 3.46Mt, up by 45% from 2.39Mt.

Chair Rashid bin Sultan al Hashmi said "The company has produced and sold record quantities of cement during the period to help the nation and the consumers in overcoming a scarcity created by various challenges faced by consumers due to short supply of cement from other manufacturers and prevailing global macroeconomic trends."

CEO Salim Abdullah al Hajri added a note of caution, saying "Though the demand for cement in Oman continues to remain reasonably stable and is expected to remain at 2022 levels, unreasonably low priced cement being supplied by competitors remains a major challenge, and the company will continue to monitor the market situation."

The Oman Daily Observer newspaper has reported that Oman Cement Company is in the process of selecting a contractor for an expansion to its Misfah cement plant. The project will increase the plant's capacity by 25% to 5000t/day from 4000t/day across its three production lines. The producer subsequently plans to build an additional line at the plant, which will triple its capacity to 15,000t/day. Meanwhile, plans for a new 5000t/day cement plant at Duqm are currently under review. The company is in discussions with the Public Authority for Special Economic Zones and Free Zones (OPAZ) to 'explore alternatives,' including possible relocation of the site of the plant, due to 'issues in the supply of gas.'

Philippines: Knauf Gypsum Philippines has petitioned the Philippines Tariff Commission to reduce the import duty on imports of Omani gypsum to 0% of value. Currently, Oman’s gypsum enjoys a most favoured nation (MFN) reduced tariff rate of 3%. The Oman Daily Observer newspaper has reported that high gypsum wallboard demand has created short supply of gypsum in the Philippines, according to Knauf Gypsum Philippines. Beside the company’s wallboard operations, the raw material is also critical to cement production in the country.

The Philippines receives a minor share of Oman’s 8.74Mt/yr of natural gypsum exports. The Southeast Asian country has a housing backlog of 6m units.

Oman: Aditya Birla Group subsidiary UltraTech Cement signed an agreement with Seven Seas Company to acquire a 70% majority stake in Duqm Cement on 30 January 2023. ET Now News has reported that UltraTech Cement’s UAE-based subsidiary Cement Middle East Investments concluded the deal in the form of a share sale and purchase agreement. the parties expect to complete the transaction in late April 2023.

Oman: Raysut Cement’s loss after tax rose to US$243m in 2022 from US$33.6m in 2021. Its expenses more than doubled to US$361m from US$168m. Its sales revenue dropped by 12% year-on-year to US$118m from US$134m.

The release of financial data for 2022 follows the intervention by the Capital Market Authority (CMA) in late 2022. In November 2022 the regulator publicly called on the cement producer to urgently address 'material misrepresentations' in its financial results for the second quarter of 2022. It then replaced the company’s board of directors and appointed a temporary one in December 2022 following an audit. This is the second time the CMA’s history that it has taken such action, according to local press.

Oman: The Capital Market Authority (CMA) has replaced the board of directors of Raysut Cement and appointed a temporary one following a financial audit. The CMA said the new board would, “deal with the reasons that led the company to conditions that prompted such action.” It will restructure the company to ensure the stability of its financial position. In late November 2022 the CMA questioned the validity of the company’s third quarter results in 2022 when it detected ‘material misrepresentation.’ Additionally, the cement producer’s chief executive officer and chief financial officer resigned in August 2022 and November 2022 respectively.

The new board is headed by Hamdan Ahmed Al Shaqsi. It also includes Majid Sultan Al Tauqi, Dr. Ali Amer Al Ghaithi, Ahmed Saud Al Zakwani and Mubeen Jalil Yasin Khan. The new board members will each hold their posts for three years.

Oman: The Capital Market Authority (CMA) has called on Raysut Cement to urgently address 'material misrepresentations' in its financial results for the second quarter of 2022. The Oman Daily Observer newspaper has reported that the CMA has warned investors that the misrepresentations 'hugely' impacted the report's profit and loss accounts.

The regulator said "CMA emphasises that failure to exercise due diligence in providing timely and accurate financial statements to the investors in fair manner is a breach of the law, and renders the violating entities legally responsible. The CMA announces zero tolerance in this regard."

Oman: The board of directors of Raysut Cement approved the resignation of its chief financial officer Jitendar Singhvi.

Oman: Raysut Cement has appointed Khalid Ramis Mohammed Al Rawas as its chief executive officer. It follows the resignation of Ghose Jotirmoy Pratul Krishna in early August 2022. Al Rawas holds nearly 30 years of experience working in the banking sector. He joined Raysut Cement in 2019.

Oman: Ghose Jotirmoy Pratul Krishna has resigned as the chief executive officer of Raysut Cement. The company will announce the appointment of his successor from mid-August 2022. In a statement the cement producer said that recent news circulating on social media had nothing to do with it or its subsidiaries and that the situation referred to a time before the executive joined the company in late 2017. It added that its current CEO was currently in Oman. Ghose was previously the managing director of Binani Cement in India.