Cement News tagged under: Jaiprakash Associates

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Deutsche Bank downgrades Jaiprakash to “sell”, India

24 July 2013, Published under Cement News

Deutsche Bank downgrades India's Jaiprakash Associates Ltd to "sell" from "hold", due to higher-than-expected debt. The bank says the company's consolidated debt of INR612bn (US$10.24bn) came in at INR10bn above its estimates. It has also cut its FY14 earnings estimates for the India-based cement producer  by 14 per cent and that of FY15 by nine per cent, citing a "high degree of operating leverage" in a "weak cement demand environment."

UltraTech in talks with JP Associates for Gujarat assets, India

24 April 2013, Published under Cement News

UltraTech Cement is reportedly closing in on a deal to acquire the cement assets of Jaiprakash Associates in the state of Gujarat, India, according to local press reports. "The deal is expected to be sealed before May. The valuation and other critical aspects, such as the indemnity amount, are more or less finalised. We are waiting for one more approval," reported The Economic Times quoting two persons with direct knowledge of the development. The report added that the sale of the cement...

Jaiprakash in new attempt to sell Gujarat assets, India

17 April 2013, Published under Cement News

Jaiprakash Associates is reportedly planning to sell its Gujarat-based cement units within a few weeks in an effort to reduce debt. According to reports by the Business Standard of India, the Gujarat cement assets are expected to be sold for INR4000 crore. Earlier, the group was in talks with the Birlas to sell the cement units, however, as its expected valuation of US$170/t was deemed too high, it failed to secure the deal. Sources say the sale is now likely to be carried out at US$150/t....

Jaiprakash Associates seeks permission for land acquisition

12 April 2013, Published under Cement News

Jaiprakash Associates is seeking permission from the Himachal Pradesh state government to start land acquisition for a new cement plant.   Industries Minister Mukesh Agnihotri informed the state assembly on Tuesday that the company requires 212ha, including 158ha of forest land, for the plant at Malokhar in Bilaspur district, NewsTrack India writes.   "The company has now sought permission to start acquisition of 172ha," the minister said.   The memorandum of understandi...

CRH – acquisition key to growth

07 January 2013, Published under Cement News

A development spending update released yesterday by CRH shows that growth through vertical integration continued to be a key strategy for the Irish building materials major through 2012. But with spending still subdued compared to 2006 peaks levels, will 2013 see the company step up its acquisition activity and which markets offer the potential for takeover opportunities? In its twice-yearly development statement, CRH said it closed 2012 with acquisitions and investments reaching almost EU...

Jaiprakash may not meet asset sale target – Kim Eng

05 December 2012, Published under Cement News

Jaiprakash Associates may not meet its target of raising INR50bn via a sale of its plants in Gujarat and Andhra Pradesh states, according to analysis by Asian securities and investment broker Kim Eng. Jaiprakash on Monday said buyers are showing interest in its Gujarat plant only and not its Andhra Pradesh plant. It also denied media reports that said it had sold its 5Mt capacity Gujarat cement plant to UltraTech Cement at a valuation of US$180/t. The company however says that it is sti...

Aditya Birla resumes talks with Jaypee over cement assets – report

17 October 2012, Published under Cement News

The Aditya Birla Group has restarted negotiations with Jaikprakash Associate’s to buy out its Jaypee Cement Corp plants in Gujarat and Andhra Pradesh, the Economic Times (ET) of India reports. Birla is understood to have made an offer of up to US$130/t to acquire cement assets with a total capacity of 9.8Mt, two sources close to the negotiations said. Talks between the two companies fell through in July this year due to differences over valuations, the ET noted. Last week, CRH said neg...

CRH to buy 51% in Jaypee's Gujarat units for INR21bn (US$378.9m)

24 August 2012, Published under Cement News

Irish building materials group CRH is set to pick up a controlling 51 per cent stake in the cement operations of Jaiprakash Associates in Gujarat for an enterprise value of INR42bn. CRH will also be able to increase its holding to 65 per cent over the next three years at a pre-fixed price via a call option. “CRH will have the option of picking up an additional 14 per cent from Jaiprakash Associates at the current price plus a 16 per cent annualised return or at a fair price determined ...

CRH confirms Jaiprakash talks for Gujarat unit

08 August 2012, Published under Cement News

CRH plc announces that it has entered negotiations with Jaypee Cement Corporation (Jaypee) that may lead to the purchase by CRH of an equity stake in Jaypee’s Gujarat cement business.   The Gujarat operation under consideration consists of a 3.6Mt clinker plant at Kutch, in western Gujarat, with 2.4Mt of cement grinding capacity and a further grinding plant in eastern Gujarat with capacity to produce 2.4Mta. The completion of any transaction would be subject to satisfactory due diligen...

CRH closing in on Jaiprakash cement stake - report

06 August 2012, Published under Cement News

CRH is reported close to picking up 51 per cent stake in Jaiprakash Associates' cement operations in Gujarat at an enterprise value of about INR4200 crore, the Economic Times of India has cited two persons familiar with the development as saying. The enterprise value of Jaypee Cement Corp, which has two cement plants in Sewagram and Wanakbori-each having a capacity of 2.4Mt, includes debt of about INR1800 crore. The deal will help Jaiprakash Associates pare its debt by about INR1800 crore...