Displaying items by tag: Privatisation

Nepal: The government plans to shut down Udayapur Cement Industry, which operates the Jaljale cement plant, in mid-July 2025. The República newspaper has reported that the government has received a memorandum of understanding (MoU) signed between workers, local people and political parties to contest the closure. Critics reportedly accuse the government of trying to bankrupt the company in order to sell it.

Angola: The government has announced that it expects to receive around US$240m from the privatisation of three companies owned by China International Found (CIF) Angola, following the auction of their factories. As well as CIF Automobile Assembly Unit and CIF Lowenda Beer Factory, the government is privatising CIF Cement Cement Factory, for which it anticipates receiving US$197m for the asset. The Griner/Ciment/Mercons consortium was the preferred bidder, with the H&S/Yupeng consortium second, Moçambique Dugongo Cimentos third and Huaxin Cement fourth.

The three companies were previously nationalised by the Angolan state as part of an anti-corruption process.

China/Taiwan: Asia Cement (China) Holdings will be taken private in a US$647m deal by its majority owner, Taiwan-listed Asia Cement Corp. Asia Cement Corp offers US$0.41 per share for the remaining stakes in its Hong Kong-based unit, marking a 3% discount on the last closing price. Trading in Asia Cement China shares, suspended since 28 May 2024 after a surge, will resume on 6 June 2024. The firm is impacted by China’s struggling property sector and recorded a first-quarter loss of approximately US$18m in April 2024.

Egypt: NI Capital, the investment arm of Egypt’s National Investment Bank, plans to sell its 10% stake in Misr Cement Qena. The Al Borsa newspaper has reported that the company is preparing to tender for a financial advisor for the intended sale. The divestment would form part of a US$5bn International Monetary Fund (IMF)-mandated privatisation programme, due to conclude before June 2024.

Uruguay: The government has tendered for offers to acquire state-owned Administración Nacional de Combustibles, Alcohol y Portland (ANCAP). The Caras y Caretas newspaper has reported that the board of directors approved the tender on 18 May 2023. The tendering process will run until 11 July 2023, and any resulting privatisation will require ratification by parliament.

ANCAP operates two 300,000t/yr integrated cement plants.

The tender can be viewed here.

Nigeria: The government of Kogi State has filed a lawsuit against Dangote Cement's parent company Dangote Industries. The state government claims no payment was received for Dangote Cement's acquisition of the Obajana cement plant upon its privatisation in 2002, according to the Advocate newspaper. If the legal case is successful it could void the cement producer’s contract with the state government.

The National Security Council ordered the reopening of the Obajana cement plant in the national interest on 14 October 2022, following its closure by order of the Kogi State Assembly.

Uruguay: Workers at Administación Nacional de Combustibles, Alcohol y Portland’s (ANCAP) Paysandú and Minas cement plants held two days of strikes without warning in early February 2022. The La República newspaper has reported that the Single National Union of Construction and Annexes (SUNCA) called the action to put pressure on the producer not to sell the businesses to private investors. The potential buyers are reportedly planning to visit the plants.

Uruguay: The Federación Administación Nacional de Combustibles, Alcohol y Portland (FANCAP) and Construction Union (SUNCA) have rejected plans for the privatisation of the Administación Nacional de Combustibles, Alcohol y Portland’s (ANCAP) 0.3Mt/yr integrated Paysandú cement plant in Paysandú Department, according to the La Diaria newspaper.

ANCAP Coordinator of Trade Unions Gerardo Rodríguez said, “Any change in the cement industry must leave cement production in public hands and keep all three ANCAP cement plants open, as well as keeping all jobs. Management must provide the necessary levels of investment to complete upgrades to the Paysandú plant and the personnel necessary for its operation.” He added, “In the face of adversity, we show more unity, solidarity and struggle and in the face of an attempt to close Paysandú we will respond with more organisation and more struggle.” He said that an occupation of all workplaces would follow the closure of any plant.