Raysut Cement of Oman to acquire Sohar Cement

Raysut Cement of Oman to acquire Sohar Cement
25 February 2019

Raysut Cement Co SAOG has informed Muscat Securities Market (MSM) that it has signed a letter of intent (LoI) with the shareholders of Sohar Cement Factory LLC of Oman, with respect to the purchase of all its shares. 

According to Ghose Jotirmoy Pratul Krishina, CEO of Raysut Cement, the parties are currently discussing the terms of the proposed acquisition and company will keep its shareholders informed of any significant future developments as and when they happen.

With a 240tph grinding unit, Sohar Cement is the Oman’s third cement plant after Oman Cement and Raysut Cement. The facility was developed by a partnership between Sohar Cement, holding 70 per cent of the equity and UAE-based Fujairah Cement Co, owning the remaining 30 per cent of the equity at Phase 7 of Suhar Industrial Estate, one of the several industrial parks administered by the Public Establishment for Industrial Estates (Madayn) around Oman.

The Raysut Group has produced 2.967Mt of clinker and 2.913Mt of
 cement in 2017 against 3.308Mt of clinker and 3.759Mt of cement, respectively in 2018. The overall production of clinker went down by 10 per cent and cement by 22 per cent.

Published under Cement News