Cement News tagged under: Anhui Conch

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Anhui Conch

22 July 2016, Published under Cement News

Anhui Conch has missed out on the chance to acquire Lafarge India, despite its offer of INR95bn (US$1.4bn) coming in higher than the winning bid. A deal was finally struck with Nirma Ltd at INR94bn, but this remains subject to approval by the Competition Commission of India (CCI). The transaction includes three cement plants and two grinding station with a total capacity of 11Mta.  A number of articles have examined why Anhui Conch was unsuccessful with one by Mint dismissing rumours that...

Conch offer shows price just one factor in Lafarge deal

14 July 2016, Published under Cement News

China’s Anhui Conch lost out in the race to acquire Lafarge India despite the fact that its offer of INR95bn (US$1.4bn) was higher than the INR94bn bid submitted by Nirma Group, the eventual winners. In an article published today, Mint examines some possibilities behind Anhui’s failure. The paper dismisses suggestions that the Competition Commission of India intervened directly to block its bid but does lend support to the idea that Lafarge was happier to reach agreement with a domestic f...

Deadline day reached for Lafarge India bids

04 July 2016, Published under Cement News

Today (4 July) sees the passing of the deadline by which bidders must submit binding offers for Lafarge India's assets. According to press sources, five companies – three domestic and two foreign – are in the running for the facilities, which include production capacity of 11Mta. The five firms submitting their bids today are: Cemex, Anhui Conch, JSW Cement, Piramal Enterprises and the Nirma Group. Of the five, only JSW Cement has a significant presence in the Indian market: the company h...

West China Cement shares drop by one third in single day’s trading

29 June 2016, Published under Cement News

Hong Kong-listed West China Cement (WCC) has seen its shares fall by 32.7 per cent in a single day, wiping US$350m off the value of the company, Bloomberg reports. At one point, the company’s shares were trading 46 per cent down on their opening value, before recovering slightly to close at HKD1.07 (US$0.14). In May West China Cement reached an agreement with Anhui Conch that would see the latter company acquire the former. However, the deal has yet to be finalised and requires officia...

India: Five bidders still in running for Lafarge

01 June 2016, Published under Cement News

The Financial Express reports that Lafarge India has reduced the number of bidders vying to acquire its assets to a shortlist of five: Cemex, Anhui Conch Cement, JSW Cement, Piramal Enterprises and the Nirma Group. Of the five, only JSW Cement has a significant presence in the Indian market, although Piramal and Nirma both operate in other sectors in the country. Lafarge India’s assets amount to a capacity of 11Mta and include mining rights. The six plants included in the sale are loca...

Indonesia: incumbents suffer as new entrants fight for market share

04 April 2016, Published under Cement News

Cement prices in Indonesia are falling as newer firms attempt to win market share from the established players, state-owned Semen Indonesia, HeidelbergCement’s Indocement Tunggal Prakarsa and Holcim Indonesia. A report from Indonesia Investments notes that the entry of five new firms into the Indonesian market has led to production capacity rising above 100Mta, while demand is set to reach just 63Mt in 2016. This has led to heavy downward pressure on prices: a report by Trimegah Securi...

Anhui Conch still outperforming rivals, claims Fitch

01 April 2016, Published under Cement News

Fitch Ratings claims that Anhui Conch Cement Company Ltd has maintained its financial strength and improved its market share in 2015, despite seeing a sharp decline in its domestic Chinese cement market. Sales volume in China's cement industry fell 4.9 per cent and average selling prices (ASPs) decreased 15 per cent in 2015, driven by the weakness in fixed-asset investments and industry oversupply. Conch has outperformed its peers by increasing its sales volume by three per cent, although ...

S&P: West China Cement stays on CreditWatch Positive

01 March 2016, Published under Cement News

Standard & Poor's (S&P) Ratings Services said that it continues to keep the ratings on West China Cement on CreditWatch with positive implications while the company awaits regulatory approval to: (1) issue new shares to Anhui Conch Cement Co, and (2) acquire the latter's cement assets. "We are still awaiting details of the transaction. We also need to further clarify with both management teams regarding WCC's capital management, growth strategy, board composition, and any change to WCC's e...

Anhui Conch Cement reports decline in operating profit

30 October 2015, Published under Cement News

Operating profit at Anhui Conch Cement fell 31 per cent YoY to CNY7.05bn (US$1.1bn) in the nine months through September on the back of weaker demand and pricing competition. Revenue dropped 13 per cent to CNY37.9bn, the Shanghai-listed company reported Tuesday.

Moody's upgrades West China Cement to Ba3; stable outlook

25 August 2015, Published under Cement News

Moody's Investors Service has upgraded West China Cement Limited's (WCC) corporate family and senior unsecured ratings to Ba3 from B1. "The upgrade reflects the improvement in WCC's financial profile following the investment by Anhui Conch Cement Company Limited (A3 stable) in the company," says Franco Leung, a Moody's Vice President and Senior Analyst. At the end of June 2015, Conch had completed a subscription to shares equivalent to a 16.67 per cent equity stake in WCC. As a result, WCC...