Cement News tagged under: Debt Reduction

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Lafarge Africa plans to cut debt over the next 18 months

25 May 2018, Published under Cement News

Lafarge Africa Plc plans to cut debt over the next two years as it seeks to boost profit before resuming expansion, according to the company’s chairman, Mobolaji Balogun. The company expects its leverage ratio to fall from over 100 per cent to between 60-70 per cent over the next 18 months, according to Bloomberg. "As soon as the debt becomes more comfortable, we don’t sit there, we will put the foot down on the next round of expansion," said Mr Balogun. The company’s total debt has droppe...

Star Cement receives government subsidies to reduce debt

10 May 2018, Published under Cement News

Star Cement has received INR2bn (US$29.7m) towards a subsidies claim from the central government. The company intends to use the amount to further reduce its debt. Earlier in April company had received IN800m (US$11.8m) of subsidies and also used it for debt reduction. The total debt for the company following the payment of INR800m is expected at INR3200m, including long-term and short-term loans. The debt will further come down significantly as the company intends to utilise the entire am...

Cimpor

02 February 2018, Published under Cement News

Cimpor is likely to return to the stock market as InterCement, the intermediate holding company, is looking to reduce debt levels.  InterCement sold a significant minority stake in its Argentine subsidiary Loma Negra last year.  The Cimpor business that is expected to become quoted is likely to consist of the operations in Portugal, Cape Verde, South Africa and Mozambique.

Steppe Cement repays bonds

17 November 2017, Published under Cement News

Kazakh cement producer Steppe Cement has repaid bonds issued in November 2012, according to StockMarketWire. The bonds totalled KZT1.49bn (US$4.48m) and were paid out of the cash flow of the company. The repayment of the bonds reduced the net debt of Steppe Cement to US$16m.

India: Burnpur Cement blames demonetisation for repayment failures

10 January 2017, Published under Cement News

Burnpur Cement has declared its inability to repay bank loans on Saturday due to demonetisation as its repayments had turned “irregular” with lenders because of “depressed” market conditions. Located in eastern India, Burnpur Cement is looking to raise its production capacity from 0.6Mta to 3Mta, split between two units, at a cost of INR5000m (US$73.3m). The company made a regulatory filing at the weekend and said it had fallen behind on repayments because its cash flow was impacted by dem...

China: Shanshui Cement to raise HK$456m from placing

07 October 2016, Published under Cement News

Shanshui Cement announced that it has entered into a placement agreement, proposing the placing of 910-950m new shares at a price not less than HK$0.5/share. This placing price represents a 92.1 per cent discount when compared to its closing price of HK$6.29 (US$0.81). The placing shares represent 21.2-21.9 per cent of the enlarged issued share capital of the group. Estimated net proceeds stand at HK$436.85-456.25m (US$56.3-58.8m), which will be applied to settle the group’s outstanding d...

Birla completes acquisition of Reliance Cement

23 August 2016, Published under Cement News

Birla Corporation announced that is has completed the acquisition of Reliance Infrastructure subsidiary, Reliance Cement. The deal was valued at about INR48bn (US$715.6m). Reliance Cement becomes a wholly-owned subsidiary of Birla, whose production capacity now reaches 15.4Mta, up from 9.8Mta, as a result of the deal. Reliance Cement operates a 5.08Mta integrated capacity at Maihar (Madhya Pradesh) and Kundanganj (Uttar Pradesh) as well as a 0.5Mta grinding unit at Butiburi (Maharashtra)....

Cemex amortises US$353m debt

15 July 2016, Published under Cement News

Mexican cement maker Cemex has amortised a US$352.95m debt that was due to expire in 2022, as part of its refinancing strategy to lower costs, reports Reuters. Cemex, which has been selling assets to cut debt, announced an offer to buy back up to US$400m in debt in April but said it would not buy back more than US$150m of the 2022 debt. However, on Thursday Cemex said debtholders agreed to an early tender of the 9.375 per cent notes falling due in 2022, with the company agreeing to pa...

PPC

25 May 2016, Published under Cement News

Shares in PPC have plummeted following the company’s announcement that it is preparing a capital raising of up to ZAR4bn (US$256m), whilst also revealing it is in talks with a credit ratings agency what will probably lead to a downgrade. Stock declined last week by as much as 16 per cent, which could prove to the the biggest drop on record. The shares have reportedly declined by 21 per cent for the year so far, compared to a 3.6 per cent gain in the FTSE/JSE Africa All Share Index. The pr...

ASEC Cement closes sale to Misr Cement Qena

24 November 2015, Published under Cement News

ASEC Cement, a business unit of Qalaa Holdings, on Sunday announced it reached financial close on the sale of its holdings in subsidiaries ASEC Minya Cement and ASEC Ready Mix Co to Misr Cement Qena for total consideration of around EGP1bn (US$127m). “We are pleased to announce the sale process closed today, putting in place another cornerstone in our strategy to deleverage at both the holding and platform company levels,” said Qalaa Holdings chairman and founder, Ahmed Heikal. “Both ASE...