Displaying items by tag: Finance
Ministry finds irregularities in accounts of Burnpur Cement
04 January 2019India: A probe by the Ministry of Corporate Affairs (MCA) has found ‘serious’ financial irregularities in the accounts of Burnpur Cement. The regional director of the MCA has recommended an investigation of the company, according to the Business Standard newspaper. The MCA has also recommended that the cement producer be barred from making interest payments without government permissions in the interest of its shareholders. The company was reported as a non-performing asset in 2016 and its repayment schedule to lenders has been monitored in the media. It made a loss of around US$15m in the financial year that ended in March 2018.
Russia: The Federal Antimonopoly Service (FAS) has approved a merger of Pereval Pit and Angarsk Cement with Optic Holding. Siberian Cement will gain a 99.9% stake in Optic Holding following the deal, according to the AK&M Agency. The application to FAS was made in mid-October 2018. Angarsk Cement is part of Siberian Cement group.
Anhui Conch on finance hunt for terminal in Indonesia
02 October 2018Indonesia: China’s Anhui Conch is looking for finance to support a US$105m terminal it wants to build in Palembang. Yu Jun, a project manager at the cement producer said that the project will be able to import and export 0.4Mt/yr and it will have a berth for ships of 3000DWT, according to Inside International Industrials. The company hopes to secure funding by the end of February 2019.
ARM Cement cuts staff benefits to save money
23 May 2018Kenya: ARM Cement has cut its staff pension plan and medical insurance scheme due to cash flow problems. The staff schemes have been suspended from the end of June 2018 until further notice, according to the Business Daily newspaper. The suspension of the two benefits follows erratic salary payments and failure to pay pension contributions since June 2017. The cement producer has attempted to raise funds from asset sales and find a strategic investor. Its executive director Rick Ashley resigned in early May 2018 citing personal reasons.
China CAMC Engineering chasing finance for Eurocement plant project
23 February 2018Russia: China CAMC Engineering is seeking international finance for an upgrade to the Zhiguli cement plant. The US$70m project was part of a wider US$175m contract with Eurocement signed in mid-2014 to upgrade three plants, according to Inside International Industrials. The building phase of the project is planned to last 36 months. The other plants in the project are the Pikalevo cement plant and the Savinski cement plant. China CAMC Engineering a subsidiary of China National Machinery Industry Corporation (Sinomach).
Italy: Cementir is preparing to pay extra for its purchase of Belgian cement maker Compagnie des Ciments Belges (CCB) that took place in the autumn of 2016. In the draft financial statement it said that it would have to pay an estimated additional amount, according to Radiocor news agency. However, no specific amount has been declared. Cementir paid Euro337m to Germany’s HeidelbergCement for CCB in October 2016.
Yamama Cement raises US$267m to build new plant
03 January 2017Saudi Arabia: Yamama Cement has signed two finance agreements to raise US$267m towards building a new cement plant. It has signed a deal to raise US$200m from the National Commercial Bank and US$67m from the Samba Financial Group. The deals are both for three years.
McInnis Cement plant reported 75% complete
02 November 2016Canada: McInnis Cement has completed nearly 75% of the construction phase of the 2.5Mt/yr plant it is building at Port-Daniel-Gascons in Quebec. It also announced that it has closed the financing for the project.
“With the significant turnaround of operations and approximately US$209m in new financing, everything is in place to complete the project on schedule,” said Christian Dubé, Executive Vice-President of Québec at la Caisse, the pension fund manager that took control of the project in August 2016. The first cement deliveries from the plant are scheduled for the spring of 2017.
McInnis Cement began the operating phase in October 2016, with tests on the crushing line and the conveyers used to transport limestone extracted from the quarry to the warehouse. The company expects to receive its first ship at its marine terminal in early November 2016.
By the end of 2016, the company expects to finalise and begin operations of the crushing unit, receive several ships transporting raw materials in its marine terminal and conduct the first operational checks for the grinding of raw materials. Distribution terminals at Sainte-Catherine and Providence are also under construction and other sites under development will soon be added to the company’s distribution network.
ARM Cement secures US$140m from CDC Group
07 October 2016Kenya: ARM Cement has completed an equity deal to secure US$140m in funding from CDC Group. The investment is believed to be the largest equity deal in Kenya and East Africa in 2016, and one of the largest equity deals in Kenya to date. The cement producer intends to use the investment to build a new cement plant in Kitui County.
“This deal is indicative of the increased infrastructure development in the East African region. The demand for quality and sustainably produced cement has never been higher, and this deal capacitates ARM to meet this demand head-on. The deal is good news as it is expected to create jobs due to increased production and opportunities all along the supply chain,” said Paras Shah, a partner with Bowmans Kenya, the firm that advised ARM on the legal aspects of the transaction.
India: The Debt Recovery Tribunal (DRT) in Nagpur has barred Murli Industries from selling or mortgaging its assets due to outstanding debts of over US$275m. The nine directors of the company have been asked not to leave the country without prior permission of the tribunal, according to the Times of India. Accusations of financial irregularities have also been levelled at the directors by the tribunal.
Murli Industries runs a cement plant in Chandrapur, Maharashtra that has been described by the Times as ‘practically closed down’. Workers at the unit have not been paid reportedly since the autumn of 2015. Subsequently they have preventing the company from transporting cement or raw materials out of the plant until they are compensated.