Cement News tagged under: PPC

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PPC revenue growth supported by rest of Africa cement business

08 June 2017, Published under Cement News

PPC reported that group revenues for the year ending March 2017 rose by five per cent to ZAR9641m (US$750m). The growth was supported by the rest of Africa cement business where revenues rose by nine per cent, and the aggregates and ready-mix segment which saw revenues increase by 23 per cent. Group EBITDA decreased by 13 per cent to ZAR2065m while the EBITDA margin achieved was 21.4 per cent (March 2016: 26 per cent). The decline was mainly attributable to the southern Africa cement seg...

PPC achieves two major milestones as part of its expansion strategy

21 April 2017, Published under Cement News

As part of its expansion strategy, PPC announced this week the inauguration of its Ethiopian operation, Habesha Cement, and the first truck dispatch load of saleable cement from its plant in the Democratic Republic of the Congo. The inauguration of Habesha Cement marks the completion of the construction of the factory and installment of the technical and non-technical systems.The ceremony, officiated by the Prime Minister of Ethiopia, Ato Hailemariam Desalegn, was held at the plant in Hole...

Zimbabwe: President Mugabe opens PPC cement grinding plant in Harare

30 March 2017, Published under Cement News

PPC's US$85m cement 0.7Mta grinding plant at Msasa, Harare, has been officially opened by President Robert Mugabe. The plant is PPC’s third production site in the country. The facility features a cement ball mill with dynamic separator and road and rail off-loading facilities. This is in positioning PPC to meet local demand, as well as boost the country’s ability to export to the region. The PPC's collective capacity now stands at 1.4Mta, allowing the firm to export further to its neig...

AfriSam reported to replace CEO ahead of PPC merger

17 March 2017, Published under Cement News

To help enable the merger with rival PPC, AfriSam is set to replace its CEO, Stephan Olivier after nearly seven years of leading the firm, according to local press reports in South Africa. He would be replaced on a short-term contract by Rob Wessels, a former chief investment officer at AfriSam's black empowerment partner Phembani Group. The new management team would potentially implement the merger with PPC through a reverse of AfriSam into its competitor's listing, two of the source...

South Africa's proposed carbon tax could cost PPC ZAR90m

15 March 2017, Published under Cement News

South Africa’s proposed draft carbon tax bill published in November could see PPC liable for an estimated ZAR90m in carbon tax, according to Pretoria News. However, PPC CEO, Darryl Castle, said the cement producer was currently looking at a number of initiatives to reduce this tax burden. He added that the tax regime did not apply to imports into South Africa. Furthermore, he said it had not been meaningfully implemented elsewhere and Australia had scrapped a similar initiative due to the...

South Africa: rain dampens PPC Jan-Feb sales

14 March 2017, Published under Cement News

PPC announced that adverse weather had negatively affected its cement and concrete sales in South Africa during January and February 2017. Rainfall in excess of 200mm was experienced in many parts of the country during these two months. The cement manufacturer said it managed to reduce net debt to ZAR4.4bn (US$333.13m) as of December 2016 due to the conclusion of a component of the first empowerment transaction. PPC concluded Strategic Black Partners (SBPs) and Community Service Groups (C...

Zimbabwe: PPC capacity utilisation “less than ideal”

10 March 2017, Published under Cement News

The managing director of PPC Zimbabwe, Kelibone Masiyane, has admitted that his firm’s capacity utilisation is “less than ideal” due to the downturn in the country’s economy, the Chronicle writes. Mr Masiyane said that reduced economic activity had led to a drop in demand for PPC’s output but insisted that conditions would improve in the short- to medium term. In November PPC Zimbabwe expanded its capacity in the country with the opening of a new grinding plant in Harare. 

PPC

27 February 2017, Published under Cement News

South African cement manufacturer PPC is reportedly in talks with its nearest rival AfriSam Group over a possible merger. Merger talks first took place in 2014 when PPC’s share price came under pressure. Today PPC is valued at around US$823m and has borrowed heavily of late to build new capacity in Ethiopia, Rwanda, Zimbabwe and the Democratic Republic of Congo. However, the slow implementation of infrastructure investment in its home market and the loss of its investment grade debt ratin...

PPC will strengthen its hand with AfriSam merger

17 February 2017, Published under Cement News

The focus of a potential merger in South Africa between two major cement producers caught the eye this week. PPC and AfriSam already have a significant stake in the country’s cement market and by merging PPC would extend its dominance to control some 60 per cent of domestic sales, if it accepts AfriSam's offer to merge. As recently as November, PPC’s chief executive, Darryll Castle, suggested that there were too many cement companies operating in the country and that consolidation was requ...

PCC and AfriSam in merger talks

13 February 2017, Published under Cement News

PPC is in merger talks with its nearest competitor, AfriSam Group, seeking to overcome valuation disagreements that prevented the completion of previous tie-up efforts, according to Reuters. AfriSam first proposed the merger in 2014, when infighting between the PPC board and its former CEO has put downward pressure on PPC’s share price. However, shares in PPC have performed significantly better, increasing by a third this year to date. The cement producer is valued at about ZAR11bn (US...