Cement News tagged: Corporate
Brazil: Votorantim Cimentos plans bond buyback
Votorantim Cimentos yesterday unveiled plans to buy back up to US$1.03bn in overseas bonds due 2017, according to a banker close to the transaction. The bonds carried an annual coupon of 5.25 per cent and a yield of 5.32 per cent. The offer will expire 16 April. At the same time, Votorantim Cimentos hired a group of banks to coordinate a road show to promote a new debt sale, another person...
Fitch Ratings considers Lafarge upgrade
Fitch Ratings announced yesterday it considers upgrading the credit rating of French concrete and cement group Lafarge after the company unveiled its merger with Swiss peer Holcim. The ratings agency said it is motivated to give an upgrade as the agency takes into account the synergies potential between the two groups and the business prospects of the new entity. (Abstracted from an original ...
Oyak eyes Europe, Africa acquisitions
Turkey-based Oyak is looking into acquisitions in the cement sector, with a specific focus on Europe, Africa and Great Britain, its cement group chairman Celalettin Caglar said on Thursday. Speaking to Reuters, Caglar said that the group is also interested in acquisition opportunities that could arise through the Lafarge and Holcim merger as the groups look to divest in assets to appease pote...
Qassim Cement 1Q14 net profit declines
Qassim Cement Company reported net profits amounting to SAR159m (US$42.4m) in the first quarter of 2014, down 5.59 per cent for the same period of the last year. In a statement issued today, the Saudi-based company said that dividends per share amounted to SAR1.77 compared to SAR1.87 for the same period of the last year.
Deutsche Bank upgrades Holcim to buy
Deutsche Bank upgrades Holcim to buy from hold and lifts its target price to CHF90 (EUR74) from CHF70 (EUR57) as the upside potential in the building sector should boost cement demand. This "when combined with a transformational deal with Lafarge, which brings global leadership status and hopes for greater market discipline, should make the combined entity a key holding for long term share...
Umm Al Qura set to raise US$73m via float
Umm Al Qura Cement is to raise over SAR275m (US$73m) in cash by selling 27.5m shares at SAR10 each via a flotation on Saudi Arabia's stockmarket, Tadawul. The shares are expected to be floated by the new Riyadh-based cement supplier at the end of April, and a prospectus will be published in advance. Saudi Arabia's Minister of Commerce and Industry Dr Tawfiq bin Fawzzah Al-Rabiah said that ...
West China Cement repurchases 2m shares
West China Cement Ltd bought back 2m shares for HK$1.9m on 8 April 2014, media reported, citing Hong Kong Stock Exchange documents. Between 1 January and 8 April, the Xi'an City-based cement manufacturer repurchased a total of 2m shares, occupying an 0.04 per cent stake.
Moody's places Lafarge's ratings on review for upgrade, changes outlook on Holcim Baa2 rating
Moody's has put Lafarge's Ba1 rating on review for a possible upgrade following the announced merger proposal with Swiss peer Holcim. At the same time, the credit rating's agency has changed its view on Holcim's Baa2 rating to negative from stable. The ratings actions reflect the fact that Holcim has a stronger balance sheet and credit rating than Lafarge. "The merger of Holcim and Lafarge w...
Holcim Indonesia to integrate two subsidiaries
Holcim Indonesia plans to integrate two subsidiaries as part of efforts to improve operational efficiency, the company said in a statement on Friday. The Indonesian division of the cement Swiss major plans to merge units Bintang Polindo Perkasa and Wahana Transtama. Holcim now controls 100 per cent of Bintang Polindo after it acquired the ownership from Cemex Asia in 2008. Bintan Polindo owns...
Cemex Latam to participate in construction of 12,000 sustainable housing units
Cemex Latam Holdings (CLH) announced today it expects to participate in the construction of approximately 12,000 sustainable housing units in Latin America during 2014, the company said in a statement. CLH will use innovative construction systems and specialty concrete products that contribute to increase energy efficiency translating into reduced energy costs for the families living in these...
Lafarge and Holcim agree cement merger
Holcim and Lafarge have confirmed today their intention to combine the two companies through a merger of equals, to create a new number one global cement major. Billed as a ‘merger of equals’, Lafarge shareholders will receive one Holcim share for every Lafarge share held. The agreement was unanimously approved by their representative board of directors and fully supported by the core shareho...
Cemex to appeal Spanish fine
Cemex said Spanish tax authorities have fined its Spanish subsidiary EUR455m (US$620m) following an audit of the unit's tax returns for the years 2006 through 2009. Cemex Espana plans to appeal the fines, the company said Friday in a filing with the Mexican Stock Exchange. If the appeals are not resolved in the company's favor, this matter "could have a material adverse impact on our...
Holcim and Lafarge confirm talks on possible merger
Holcim and Lafarge have confirmed that they are in advanced discussions regarding a "possible combination." The world's two leading cement majors said in separate releases that: "given the strong complementarity of their portfolio and the cultural proximity between the two companies, there is rationale in considering a potential merger that could deliver significant benefits to customers, em...
Asia Cement unit plans to buy Sichuan cement plant, China
Asia Cement (China) said its non-wholly-owned subsidiary Sichuan Yadong Cement entered into a framework agreement with the existing shareholders of Sichuan Lanfeng Cement to acquire their entire equity interest in Sichuan Lanfeng and thus indirectly the entire equity interest in Sichuan Lanfeng's wholly owned subsidiary, Sichuan Lanfeng Building Materials. The target companies principally ...
Texas Industries third-quarter net loss widens
During the first nine months to the end of February, Texas Industries Inc saw turnover rise by 34.4 per cent to US$649.8m and the EBITDA advanced by 46 per cent to US$69m. After a more than doubling of the net interest charge from US$22.5m to US$52.2m, a US$2.8m merger charge and a 95.9 per cent jump in other net costs, the pre-tax loss rose by 47.8 per cent to US$41.7m and the net loss jumpe...
Bío-Bío shares up 17% after Chilean earthquake
Shares of Cementos Bío-Bío rose 16.73 per cent to CLP600 on the Santiago Stock Exchanges in antipication of an increase in cement demand due to the earthquake that struck northern Chile. A strong magnitude 8.2 earthquake struck the provinces Arica/Parinacota and Tarapacá on Tuesday, followed by a tsunami and several powerful aftershocks.