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LafargeHolcim prepare for Indonesian merger 22 July 2015
Indonesia: PT Holcim Indonesia Tbk is preparing to merge with PT Lafarge Cement Indonesia after the finalisation of the LafargeHolcim merger.
Deputy corporate secretary Andika Lukman said in statement that the new holding company has started the strategic transformation process, focusing on revenues, capital allocation, commercial transformation and integration of the new holding. "The LafargeHolcim merger could raise revenues up to US$1.53bn in three years after the merger," said Lukman.
Holcim entered Indonesia by acquiring PT Semen Cibinong Tbk shares in 2001 for US$340m in the wake of a monetary crisis. The company was found by Hashim Djojohadikusumo, younger brother of Indonesia's 2014 presidential candidate Prabowo Subianto. Semen Cibinong's name was later changed to PT Holcim Indonesia. Meanwile, Lafarge entered the Indonesian market by acquiring shares of PT Semen Andalas Indonesia, which operates cement plant in Aceh, Sumatera in 1994. Semen Andalas' name was later changed to PT Lafarge Cement Indonesia.
Vicem Cement’s sales volumes fall by 0.5% 22 July 2015
Vietnam: Vietnam Cement Industry Corporation (Vicem) has said that its cement and clinker sales fell by 0.5% to 10.7Mt in the first half of 2015, according to Vietnam News Brief Service.
Some 9.58Mt was sold to the domestic market, up 7.1% year-on-year, while 1.15Mt was exported, down by 37.7%. In the first half of this year, Vicem produced 8.36Mt of clinker and 9.2Mt of cement, rising by 5% and 6.1% year-on-year, respectively. As of 30 June 2015, Vicem had 1.75Mt of cement and clinker inventory, including 1.41Mt of clinker, equivalent to 28 days of production.
Vicem aims to produce 4.26Mt of clinker and 5.21Mt of cement in the third quarter of 2015. It also aims to sell 5.97Mt of cement in the third quarter, raising the full-year target to 13.1Mt. In 2014, Vicem's clinker production grew by 0.7% year-on-year to 16.5Mt while its cement output rose by 10.3% to 18.5Mt.
Suez Cement’s consolidated profit falls to US$15.2m 22 July 2015
Egypt: Suez Cement's consolidated net profit fell to US$15.2m in the first half of 2015 compared to US$39.9m in the same period of 2014, according to Arab Finance. Its standalone net profit fell to US$44.6m from US$53.2m in the 2014 period.
TCL to be delisted from three stock exchanges 22 July 2015
Trinidad and Tobago: Trinidad Cement Ltd (TCL) will delist from the Barbados Stock Exchange (BSE), the Guyana Association of Securities Companies and the Eastern Caribbean Securities Exchange. TCL chairman Wilfred Espinet made the announcement on 20 July 2015 at the company's annual general meeting (AGM).
Before asking the AGM for approval to delist the company, Espinet said little or no trading of the company's shares takes place on those exchanges, yet the company still incurs listing costs. TCL remains listed on the Trinidad and Tobago Stock Exchange (TTSE) and the Jamaica Stock Exchange.
TCL's revenue rose by 11% year-on-year and its cement sales grew by 8% quarter-on-quarter in the second quarter of 2015. According to its interim consolidated financial results for the six months that ended on 30 June 2015, the company made a US$573m profit.
At the AGM, new TCL CEO Jose Luis Seijo shared his plans for the company and refuted statements that TCL 'Would not make it.' He said that most difficult part of restructuring the company was now behind it. TCL completed its debt restructuring in May 2015, after the company missed its debt service payments in September 2014. Debt restructuring included an 11% debt prepayment discount and a US$15m cash prepayment, which reduced the company's outstanding debt to US$245m in May 2015 from about US$292m at the end of 2014.
"How are we planning to repay the loan? By working very hard," said Seijo. The CEO said that he was focusing on the basics of increasing revenue, reducing costs and strengthening the company's financial position. TCL will also expand beyond cement manufacturing to offer, oil well cement, concrete roads, social housing solutions and synergies with customers. Seijo said that he wants to bring efficiencies to the highest level. "We have been underperforming for the longest time." He added that he sees TCL pushing for alternative fuels and being very disciplined controlling costs.
Re-elected to the new TCL board during the AGM were chairman Espinet, Christopher Dehring, Nigel Edwards and Francisco Aguilera. New directors elected were former senate president Timothy Hamel-Smith, Ruben McSween, Jose Bavaro and Bryan Ramsumair.
Aggregate Industries names Joe Hudson as managing director of cement and concrete products
Written by Global Cement staff
22 July 2015
UK: Aggregate Industries' new cement division will be led by Joe Hudson as managing director of cement and concrete products. He joins Aggregate Industries from Lafarge, where he has worked in a number of key functional and operational roles since 2001. Hudson was heavily involved in preparations for the LafargeHolcim merger as group senior vice president for organisation and development at Lafarge and has experience of running a cement business, having previously worked as managing director / CEO for Lafarge Wapco Plc in Nigeria.