18 November 2015
Siam Cement Group to join forces with Viglacera 18 November 2015
Vietnam: Thailand's Siam Cement Group (SCG) is considered partnering with Hanoi-based Viglacera Corporation to expand its operations in Vietnam. The two companies plan to jointly carry out a project to produce medium- and high-end construction materials for domestic sales and export.
LafargeHolcim launches new cement base for mortars 18 November 2015
Russia: LafargeHolcim's plant in Kolomna, Moscow has begun production of a new cement base for mortars under the Kelma brand. It is characterised by high strength, fine adhesion to surfaces and a long retention of mobility that provides for the mortar's plasticity necessary for construction works without adding extra water. The product is being sold in 50kg bags.
Increased competition eats into PPC’s earnings 18 November 2015
South Africa: PPC has reported a 3% fall in cement revenue to US$526m in the first nine months of 2015, although group revenue grew by 2% year-on-year to US$645m. The decline in the cement business was blamed on increased competition.
"The Mpumalanga area was the hardest hit, with double-digit volume declines. The north-west region, although also under pressure, showed some resilience," said PPC in a statement.
Company CEO Darryll Castle said that improved performance from the company's operations in Zimbabwe and Botswana had offset the declines experienced in the core South African cement business. He said that projects in Africa would ensure that shareholders had a 'diversified portfolio of businesses in different geographies.'
Breedon Aggregates buys Hope Construction Materials for Euro480m 18 November 2015
UK: Breedon Aggregates plans to acquire Hope Construction Materials for Euro480m. In a statement, Breedon said that the transaction would create 'the UK's leading independent producer of cement, concrete and aggregates.'
Hope has 160 operational sites, including a cement works in Derbyshire, five quarries and 152 concrete plants. In the first six months of 2015, Hope sold 1.6Mt of cement, 4.7Mt of aggregate and 2.3Mm3 of concrete, generating revenue of Euro407m and underlying earnings before interest depreciation and amortisation of Euro52.8m.
The acquisition is conditional upon UK competition authority approval and is expected to be completed in the second quarter of 2016. "This acquisition is well-timed, with UK construction output forecast to expand by around 15% over the next four years and volumes of all our major products expected to grow strongly," said Peter Tom, Breedon Executive Chairman. "We are confident that we will be able to continue delivering significant value for our shareholders in the coming years, with an even stronger platform for growth."
The Chief Executive of Aggregate Industries, part of LafargeHolcim, Pat Ward, will take over as Breedon Chief Executive early in 2016.