Displaying items by tag: Somalia

Kenya: The Competition Authority of Kenya has granted China-based Zou Fengqi and Oman-based Raysut Cement exemption from regulatory approval on a recent application in line with competition guidelines. The Business Daily newspaper has reported that the application stated that Zou Fengqi plans to acquire a 60% stake in Raysut Cement’s business in East Africa.

Raysut Cement operates grinding plants in Mogadishu, Somalia and Somaliland.

Maldives: Oman-based Raysut Cement has announced that it is seeking a 75% stake in a cement terminal in the Maldives, as part of its long-term global expansion strategy.

In a disclosure filed with the Muscat Securities Market (MSM) in Oman, Raysut stated, “Raysut Cement Company wishes to inform that it is in discussions with Cementia AG of Zurich to acquire its 75% shareholding in LH Maldives Ltd, a cement terminal located at Thilafushi Island, Maldives.” Both Cementia and LH Maldives are controlled by LafargeHolcim.

Raysut Cement is also constructing a 1.0Mt/yr cement grinding plant in collaboration with MSG Group in Somaliland, internationally recognised as an autonomous region of Somalia. In September 2019 Raysut signed an agreement to set up a 1.0Mt/yr grinding plant in Duqm, Oman and is also setting up a US$200m integrated cement plant in Georgia via its UAE-based subsidiary Pioneer Cement.

Somalia: Pejman Bahrami, the deputy head of Qeshm Free Zone Organisation for maritime transport and port affairs, says that 14,500t of cement will be exported to Somalia. It will be transported on a Tanzanian ship, the AMINA-H, that is currently being loaded, according to the Fars News Agency. The Iranian cement industry has a production capacity of 80Mt/yr. It sends its exports to countries including Iraq, Azerbaijan, Turkmenistan, Afghanistan, Russia, Kazakhstan, Kuwait, Pakistan, Qatar, Turkey, the UAE, Georgia, Oman, India, Somalia and China.

India: Oman’s Raysut Cement plans to invest around US$700m in India by 2022. Joey Ghose, the chief executive officer (CEO) of the company, said that about US$200m has been set aside to buy majority stakes in two local producers in early 2019, according to the Hindu newspaper. Raysut Cement wants to increase its total cement production capacity to 20Mt/yr. The investment will be funded by internal revenue and loans.

The cement producer is holding talks with companies in Chhattisgarh and the coastal region of Gujarat respectively. Each company has a production capacity of around 1.2Mt/yr. Raysut Cement also intends to invest up to US$500m in these companies following their acquisition by 2022, bringing their capacity up to 5Mt/yr.

Outside of India, Raysut Cement also says it is interested in buying a 70% stake in Kenya’s ARM Cement for US$100m. It is also in discussions to acquire buy cement producers in Uganda and Djibouti. It currently has projects in development in Somaliland and Somalia. The company also holds a majority stake in Pioneer Cement Industries Georgia.

Somalia: Security contractors aboard the cement carrier NACC Valbella have repelled an attack by pirates off the coast of Somalia. According to the maritime security firm LSS-SAPU and the Maritime Executive, the ship was transiting 90nm south of Mukallah, Yemen when it was approached by a pirate mother ship. After lighting warnings flares the carrier exchanged gunfire with the pirates before they abandoned their attack and departed. The Valbella did not suffer material damage and no injuries were reported.

Egypt: Arabian Cement plans to increase its exports to Africa and Asia. A senior official said the cement producer is considering international expansion amidst strong competition at home, according to Daily News Egypt. At present the company has exported cement to Libya, Yemen, Kenya, Madagascar and Somalia.

Arabian Cement is a joint venture between Spain’s Grupo Cementos La Unión, the majority shareholder, and a group of local investors. It operates a 5Mt/yr cement plant in Suez governorate.