Tanzania: Banco Products to sell stake in Lake Cement

Baroda-based Banco Products India Ltd, along with its subsidiaries, has decided to sell its Tanzania-based cement unit Lake Cement Ltd for US$17.68m, according to a stock market disclosure. Banco Products acquired a 51 per cent equity stake in the 0.5Mta Lake Cement in July 2010.

The name of the buyer has not been disclosed. While Banco Products will be directly selling 3721 equity shares for US$0.38m, two of Banco Products' subsidiaries, Lake Minerals (Mauritius) Ltd and Nederlandse Radiateuren, will divest their combined 174,875 equity shares for US$17.3m, the disclosure added.

Lake Cement plant is combined with a 10MW power plant. The project includes limestone-mining, clinker and cement production and packing.