Displaying items by tag: Cementos Argos

Colombia: Bancolombia has granted a US$108m loan to Grupo Argos. The loan’s interest rate is linked to two indicators, namely greenhouse gas emissions reductions and the increase in participation by women in the group’s upper management. These factors can decrease the interest rate by up to 100 basic points. The group said that signing the deal constitutes another milestone in realising its environmental, social and governance (ESG) commitment. The financing agreement modifies current conditions for debt and will have a five-year maturity. As such, it does not increase Grupo Argos’ current levels of indebtedness.

Group chief executive officer Jorge Mario Velásquez said “We are proud of this significant step, which reaffirms our commitment to driving gender equality and contributing to fighting climate change with concrete actions. Both of these topics lie at the heart of our Business Group’s strategy, in line with global goals defined in the 2030 Agenda for Sustainable Development.”

Colombia: Cementos Argos will hold the virtual launch of Argos Green Solutions on 17 March 2021. The company will use the group to set out its vision of innovation to build a sustainable future. President Juan Esteban Calle and sustainability vice president María Isabel Echeverri will host the event.

Colombia: BBVA has granted a US$45.1m loan to Grupo Argos subsidiary Cementos Argos. The loan includes a pricing adjustment mechanism which links its interest rate to the producer’s environmental, social and corporate governance (ESG) performance rating. The company said that the choice of financing arrangement aims to promote a greater commitment to sustainability management and compliance with socially and environmentally responsible practices that ensure the construction of a greener future. The transaction is the first of its kind in Colombia and constitutes Grupo Argos’ debut in sustainable financing.

Chief executive officer Juan Esteban Calle said, “This is a definite advance in line with our sustainability strategy that fills us with joy, not only because it contributes to our debt profile and reassures our commitment to sustainability as a strategic pillar and source of competitive advantage, but it is also a benchmark of trust for our investors and other stakeholders”

Colombia: Grupo Argos subsidiary Cementos Argos has recycled a total of 7m cement bags since 2013 under its Green Bags recycling initiative. The El Nuevo Siglo newspaper has reported that the recycled bags contained 1000t of paper. In water savings alone, the figure corresponds to 80,200m3 - enough water to supply 472,000 people for a day. 159 commercial customers have so far contributed their used bags. In the Medellín metropolitan area, the programme achieved a bag return rate of 95%.The group overcame coronavirus pandemic-related challenges to recycle 15,900 bags in 2020.

Colombia: Cementos Argos’ full-year consolidated net sales in 2020 were US$2.52bn, down by 4% year-on-year from US$2.62bn in 2019. The group’s cement volumes declined by 9% to 14.7Mt from 16.1Mt. Net profit for the year was US$21.8m, down by 36% from US$34.1m. Volumes, sales and earnings before interest, taxation, depreciation and amortisation (EBITDA) declined in all three of the group’s regions.

The company said that in the fourth quarter of 2020 the construction sector maintained a ‘positive trend,’ supported by the strong performance of the residential segment. It also recorded a slight improvement in the infrastructure segment. The producer said that warehouses and data centre projects had partially offset the weak performance of the segment, as offices and retail had been the most impacted during the coronavirus pandemic.

Chief executive officer Juan Esteban Calle, “I would like thank each one of our employees for their full commitment and resilience during 2020. I believe the experience we all lived over the last year will lead us to be even stronger and more prepared to face the opportunities and challenges of the future.”

Honduras/Panama: Cementos Argos has appointed Gustavo Adolfo Uribe as its manager in Panama and Central America. He has been succeeded by Luis Eduardo Tovar as the manager in Honduras.

Uribe studied civil engineering at the School of Engineering of Antioquia (EIA) and followed this with graduate training in economics at the University of Los Andes in Colombia and business at the École Supérieure des Sciences Economiques et Commerciales (ESSEC). He has worked for Argos for over 15 years in a variety of management roles, including being the general director for the business in Honduras.

Tovar studied business at the University of Lincoln in the UK. He has also worked for Argos for over 15 years in various managerial and strategic roles.

Colombia: Cementos Argos transported around 50,000t of cement by train in 2020. It plans to increase this by 30% year-on-year to 70,000t in 2021 as part of its sustainability strategy. The cement producer has started using the Belencito - Bogotá and Puerto Triunfo - Puerto Wilches routes as the country has started to revive railway lines in recent years.

Colombia: Switzerland-based finance company RobecoSAM has listed Cementos Argos in the Silver Class in its Sustainability Yearbook 2021. It chose the producer from among over 7000 companies from 61 industries on the basis of its Dow Jones Sustainability Index score.

Cementos Argos Legal and Sustainability vice president María Isabel Echeverri said, “Being included for the eighth consecutive year in the RobecoSAM Sustainability Yearbook encourages us to maintain our high sustainability standards and allows us to continue improving every day so that we can continue contributing to the development and growth of our clients and to the well-being of millions of people in all the territories in which we are present. This recognition is the result of the work of a team committed and convinced of the importance of creating value for society and for the company.”

Colombia: Cementos Argos is celebrating its inclusion in the Dow Jones Sustainability Index for the eighth consecutive year. The company said that the listing acknowledges its “good practices in economic, environmental and social matters.” Its owner Grupo Argos came second in the materials sector, which accounted for 4.3% of the total index weight, while the company itself came third. The index also highlighted it within the Latin American Integrated Market (MILA)-Pacific Alliance.

The company said, “One of the main advantages of this index is that it is a lever to promote cutting-edge business practices that seek to improve the impact of companies on society and the environment and, increasingly, to strengthen their relationship with different interest groups, whether they are communities, investors, suppliers, employees or authorities, among others.”

Colombia: Grupo Argos subsidiary Cementos Argos has reported a 13% year-on-year fall in cement sales volumes to 10.7Mt in the first nine months of 2020 from 12.3Mt in the first nine months of 2019. As a result, revenues fell by 5% to US$1.85bn from US$1.94bn, “partially netted by the price improvements in Colombia and in the US, together with the Colombian peso devaluation.” Earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 3% to US$342m from US$353m. The company said that, “Volumes were affected by the hurricanes and intense rains in the US, together with the gradual recovery of the Colombian operations that still remain affected by the lockdowns.”

Chief executive officer (CEO) Juan Esteban Calle said, “We are proud of our company and our more than 7500 employees for their commitment and resilience navigating all the challenges generated by the Covid-19 crisis. We have been able to continue operating in a bio-safe way while significantly mitigating the impact of extended shutdowns in most of our operations and at the same time we have been taking advantage of all the opportunities that are arising from the improving market dynamics, contributing to the recovery of the economies and employment in most of our markets.”