Displaying items by tag: Stake

Nepal: Sarbottam Cement's initial public offering (IPO) concluded on 8 March 2023, with the company issuing 13% of its capital. SSPro News has reported that this corresponds to a value of US$35m. Of the issued shares, 40% were allocated to qualified institutional investors. The issue was oversubscribed by a factor of 18.

The last traded price of Sarbottam Cement’s shares had risen by 10% on its first trading day on 19 March 2024.

Iraq/Jordan: Saudi Arabia-based Northern Region Cement has agreed to sell its 50% stake in Jordan-based Cement Experts for Development and Investment to UAE-based AMP Global Trading. In a statement to Tadawul, the producer said that the deal is valued at US$55m. Cement Experts for Development and Investment owns 51% of the joint investment in the Al-Kubaisa cement plant in Iraq.

Australia: CRH has concluded a deal to acquire the remaining 57% of shares in Adbri not owned by Barro Group for US$1.4bn.

CRH CEO Albert Manifold said “We are pleased to reach this important milestone in the potential acquisition of Adbri in partnership with the Barro family. Adbri is an attractive business with high-quality assets and leading market positions that complement our core competencies in cement, concrete and aggregates, while creating additional opportunities for growth and development for our existing Australian business. We look forward to working with the Barro family over the coming years to enhance the long-term growth and performance of Adbri.”

Chile: UNACEM has gained full ownership of precast concrete company Prefabricados Andinos. The group said that it completed the acquisition of the outstanding 50% stake in the company on 6 February 2024.

Rwanda: South Africa-based PPC has completed the sale of its 51% stake in the Rwandan cement producer to Kenya-based Devki Group subsidiary National Cement, for US$42.5m. The divestiture advances PPC's strategic exit of Central and East Africa. As a result, the group's financial position is now cash positive. It had previously reduced its debt by 50% to US$20.3m from US$40.7m between March 2020 and September 2023.

PPC CEO Matias Cardarelli said "I am pleased with the timely completion of the sale of our stake in Cimerwa. The disposal allows us to focus on our core Southern African markets, where we see opportunities to drive improved profitability and secure a more sustainable return on capital."

India: Adani Group subsidiary ACC has completed its acquisition of the outstanding 55% stake in Asian Concrete and Cements for US$93.2m. The Economic Times newspaper has reported that ACC expects the acquisition to strengthen its market position in North India.

Asian Concrete and Cements owns the 1.3Mt/yr Nalagarh cement plant in Himachal Pradesh and the 1.5Mt/yr Rajpura cement plant in Punjab. The assets raise the installed capacity of ACC to 38.6Mt/yr and that of Adani Group to 77.4Mt/yr. It plans to reach 106Mt/yr in the 2026 financial year, and 140Mt/yr in the 2028 financial year.

Iraq: Al-Diyar Al-Iraqia for Investments Company and Northern Region Cement have concluded a deal under which the former will acquire a 49% stake in the cement producer’s business in Iraq. Argaam News has reported the value of the deal as US$44m. Northern Region Cement said that the new strategic partnership would help it to further expand its investments in the promising market. It will use the proceeds of the deal to repay loans and for ‘external investments.’

Northern Region Cement plans to build a US$139m, 1.32Mt/yr integrated cement plant at an unspecified location in Iraq.

UK: Cemex’s corporate venture capital and open innovation unit Cemex Ventures has increased its stake in green hydrogen production technology developer HiiROC. Cemex Ventures described hydrogen as a ‘breakthrough approach’ to CO₂ reduction in the cement sector.

Head of Cemex Ventures Gonzalo Galindo said "This news comes at a critical moment, when COP28 has brought the world together to address and refocus the climate agenda and buckle down on the responsibility of governments and private corporations to deliver on their decarbonisation objectives ahead of 2030. With our increased investment in HiiROC, we are especially proud to be number one in the use of hydrogen in the cement sector and are committed to keep scouting new ways to deploy hydrogen at a grand scale at Cemex’s 60 cement and grinding plants.”

Australia: Ireland-based CRH and Barro Group have partnered to jointly acquire Adbri outright. The companies currently control 47.6% of Adbri combined – a 4.6% stake under CRH and a 43% stake under Barro Group. Under their offer to shareholders, CRH will raise its stake in the company to 57%. The partners have valued the company at US$1.4bn as part of their proposal. Following the conclusion of any such deal, the companies reportedly plan to delist Adbri from the Australian Securities Exchange (ASX).

CRH chief executive officer Albert Manifold said "Adbri is an attractive business with quality assets that complement our core competencies in cement, concrete and aggregates. With its leading market positions in Australia, we are delighted that this opportunity has presented itself to us.” He added “It is the next logical step for CRH to expand our existing presence in Australia, where we have been operating for 15 years. We look forward to working with the Barro family over the coming years to enhance the long-term performance of the business, leveraging our scale, industry knowledge and technical expertise to improve long-term growth and operating performance and drive value to achieve the true potential of the business.”

Türkiye: Taiwan Cement Corporation (TCC) has concluded an agreement to acquire an additional 20% stake in OYAK Denizli Çimento from OYAK Çimento. Reuters has reported that this will raise TCC’s stake in the company to 60%. The deal aligns with a previous memorandum of understanding (MoU) between the two parent companies.

OYAK Denizli Çimento operates the 3Mt/yr Honaz cement plant in Denizli Province. It reportedly has an enterprise value of Euro1.4bn. OYAK Çimento bought the business from Eren Holding and Ireland-based CRH for US$400 – 450m in 2014.