Displaying items by tag: Sale

Egypt: The Egyptian Chemical Industries Company (Kima) plans to sell the land belonging to National Cement within the next year. Chief executive officer (CEO) Emad el-Din Mostafa said that the bankrupt cement producer owns over 300 hectares of land, according to Arab Finance. Selling the assets is part of the Ministry of Public Business Sector’s strategy to pay the former cement producer’s debts including worker salaries. The sale is expected to generate up to US$39m.

Peru: Chile’s Cementos Bío Bío’s has sold its 50% share in Cementos Portland (Cempor) for US$14m. The cement producer originally purchased a stake in the company in 2010, according to the La Tercera newspaper. The Chilean company had previously intended to build a cement plant in Lima in a joint venture with Brazil’s Votorantim but this was delayed by legal opposition from Unacem.

Rwanda: Kenya’s ARM Cement is set to auction off its Kigali Cement plant in Nyarugenge District for a second time, following a first attempt. The company forced a legal postponement to the first auction when offers for the unit failed to reach a level it deemed acceptable, according to the New Times newspaper. The only bid it received was for US$113,000 a figure significantly short of the estimate US$1.4m market value of the plant. Kigali Cement operates a 0.1Mt/yr plant.

Kigali Cement plant is being sold in order to pay its creditor, Rwanda Enterprise Investment Company (REIC) in a long running dispute between the companies. ARM Cement owns Kigali Cement but REIC has held shares in it since 2008. ARM Cement acquired a stake in Kigali Cement in 2010 and later took over the management of the company in 2014. Meanwhile, ARM Cement entered administration at home in Kenya in late August 2018.

Egypt: Helwan Cement has agreed to sell its white cement plant in Minya Governorate to Emmar Industries. The transaction is planned to take place following the de-merger of the white cement unit from the rest of the company. The subsidiary of HeidelbergCement and Suez Cement said that the sale was part of its plan to restructure the business and improve its financial position. The company previously said it had received bid for the white cement plant in June 2018.

Nigeria: Lafarge Africa is considering raising up to US$248m in a share sale. The sale will take place in the fourth quarter of 2018 said chief financial officer Bruno Bayet whilst reporting the company’s half-year results, according to Bloomberg. Its sales rose by 5% year-on-year to US$448m in the first half of 2018 from US$427m in the same period in 2017. However, its earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 25% to US$76.4m from US$102m. The subsidiary of Switzerland’s LafargeHolcim blamed its falling earnings on poor performance in South Africa.

Turkey: Sabanci Group, the controlling shareholder of Çimsa Cement, is in talks to sell three of the cement producer’s plants. It is considering divesting integrated plants at Kayseri, Nigde and Ladik, according to sources quoted by Reuters. The company operates five integrated plants and a grinding plant.

Indonesia: Holcim Indonesia has refused to comment on local media stories that its parent company, LafargeHolcim, is planning to sell it. Both Kontan and CNBC Indonesia have reported that LafargeHolcim is looking for buyers for its subsidiary as part of its global divestment scheme. LafargeHolcim owns an 80% share in Holcim Indonesia.

Egypt: Helwan Cement has received several preliminary non-bidding offers for its white cement plant located in Minya Governorate. The subsidiary of Suez Cement and HeidelbergCement is now conducting financial, legal and technical due-diligence on the offers, according to Reuters. No values or timescale for the sale have been disclosed.

Belarus: The government is in talks with Ireland’s CRH to sell Krasnoselskstroymaterialy. Anatoly Kalinin, the Deputy Prime Minister of Belarus, told the Belarusian Telegraph Agency that the government wants US$200 for the state-owned cement producer but that CRH wants to pay less or buy a share of the business. Negotiations are on going.

Canada: Caisse de dépôt et placement du Québec (CDPQ), the owner of McInnis Cement, has hired advisors to consider options for the cement producer including a sale or bringing in a new investor. No final decision has been made and the pension investment management company may decide to keep McInnis Cement, according to sources quoted by Bloomberg. CDPQ took control of the McInnis Cement project in 2016 following cost overruns and delays. The plant eventually opened in mid-2017.