Conch to invest CNY10bn in expansion, China
Anhui Conch Cement, the largest cement producer in China, plans to invest CNY10bn (US$1.5bn) this year to upgrade technology, undertake mergers and acquisitions and reduce emissions, reports China Business News, citing company chairman Guo Wensan.
Conch Cement achieved market leadership through capacity expansion in the Yangtze River Delta and the Pearl River Delta regions, the two most important markets in China, during the period of the 11th Five-Year Plan. During the same period, the company sought to enter into the markets of west China.
According to the report, the recent growth of China National Building Material Group Corporation in the cement sector through mergers and acquisitions is threatening the market leadership position of Conch Cement. This has led to Conch Cement pursuing mergers and acquisitions.
Guo said that Conch Cement will expand capacity by more than 10 per cent in 2011. At present, the company has a cement capacity of 140Mt of cement and has affiliates in about 20 provinces and cities.
Published under Cement News
