Alexandria Cement posts 17 per cent rise

Alexandria Cement posts 17 per cent rise
Published: 17 May 2010

Egypt’s Alexandria Cement posted a 17 per cent rise in net profit to E£77.9m (US$13.90m) for the first quarter of 2010, the stock exchange said on Sunday.

Government stimulus spending on infrastructure and growing demand for housing helped fuel a 25 per cent rise in cement demand in 2009, with total production topping 50Mt.

The company, a subsidiary of Greek cement maker Titan Cement, says it plans to buy a 99.9 per cent stake in another Egyptian cement maker, Beni Suef Cement Co, which is also owned by Titan.

Alexandria Cement received the go-ahead for a E£2.45bn rights issue set to start on May 19, paving the way for Titan to sell a 16 per cent stake to the International Finance Corporation for EUR80m (US$106.6m).