Displaying items by tag: Stake

India: Adani Group has enlarged its stake in Ambuja Cements from 67% to 70%. The Telegraph newspaper has reported that the group converted warrants into shares in the producer. As a result, it will invest an additional US$1bn in funding for Ambuja Cements, having previously infused funding worth US$2.4bn.

Ambuja Cements director and CEO Ajay Kapur said “This infusion of funds provides Ambuja flexibility for fast-track growth, capital management initiatives and best-in-class balance sheet strength.”

Australia: Boral has endorsed Seven Group Holdings' (SGH) increased takeover offer after the bidder enhanced its proposal. According to Business News Western Australia, Boral is now recommending its shareholders accept SGH's offer, previously rejected in March 2024. The offer has risen from an initial US$0.98/share to a maximum of US$1.11/share. An on-market buyback is also an option at up to US$4.19/share, with total shareholder value estimated between US$4.02 and US$4.17.

Boral's independent corporate advisory company, Grant Samuel, now finds the offer ‘reasonable’. SGH has increased its stake in Boral to 78.8% and proposes further governance adjustments by adding two more executives to Boral's board.

Managing director of SGH, Ryan Stokes, said "We are pleased to offer Boral shareholders the maximum consideration under our offer. Both new and existing SGH shareholders also stand to benefit from the US$0.20/share fully franked dividend that SGH will pay following completion of the offer." The offer period is extended to 15 May 2024.

India: The Adani family has increased its stake in Ambuja Cements by 3.6% to 66.7% following an investment of just under US$800m. The move follows an investment of around US$600m that the board of the company approved in October 2022. The cement producer intends to use the additional finance to meet its target of reaching a cement production capacity of 140Mt/yr by 2028.

Ajay Kapur, the CEO of Ambuja Cements, said "This infusion of funds provides flexibility for fast-tracked growth, capital management initiatives and best-in-class balance sheet strength. It is not only the testament to steadfast belief in our vision and business model but also reinforces our commitment to delivering long-term sustainable value creation to our stakeholders and this shall propel us towards setting new benchmarks accelerating our growth and continue to deliver on operational excellence, business synergies and cost leadership."

Adani Group acquired Ambuja Cements and ACC from Switzerland-based Holcim in September 2022.

India: UltraTech Cement plans to acquire a 26% stake in O2 Renewable Energy for around US$2m. It is making the purchase to support the energy requirements of its plants from renewable sources, according to the Times of India newspaper. O2 Renewable Energy is currently building a solar power plant in Karnataka that is expected to generate 35 – 48MW.

Nepal: Sarbottam Cement's initial public offering (IPO) concluded on 8 March 2023, with the company issuing 13% of its capital. SSPro News has reported that this corresponds to a value of US$35m. Of the issued shares, 40% were allocated to qualified institutional investors. The issue was oversubscribed by a factor of 18.

The last traded price of Sarbottam Cement’s shares had risen by 10% on its first trading day on 19 March 2024.

Iraq/Jordan: Saudi Arabia-based Northern Region Cement has agreed to sell its 50% stake in Jordan-based Cement Experts for Development and Investment to UAE-based AMP Global Trading. In a statement to Tadawul, the producer said that the deal is valued at US$55m. Cement Experts for Development and Investment owns 51% of the joint investment in the Al-Kubaisa cement plant in Iraq.

Australia: CRH has concluded a deal to acquire the remaining 57% of shares in Adbri not owned by Barro Group for US$1.4bn.

CRH CEO Albert Manifold said “We are pleased to reach this important milestone in the potential acquisition of Adbri in partnership with the Barro family. Adbri is an attractive business with high-quality assets and leading market positions that complement our core competencies in cement, concrete and aggregates, while creating additional opportunities for growth and development for our existing Australian business. We look forward to working with the Barro family over the coming years to enhance the long-term growth and performance of Adbri.”

Chile: UNACEM has gained full ownership of precast concrete company Prefabricados Andinos. The group said that it completed the acquisition of the outstanding 50% stake in the company on 6 February 2024.

Rwanda: South Africa-based PPC has completed the sale of its 51% stake in the Rwandan cement producer to Kenya-based Devki Group subsidiary National Cement, for US$42.5m. The divestiture advances PPC's strategic exit of Central and East Africa. As a result, the group's financial position is now cash positive. It had previously reduced its debt by 50% to US$20.3m from US$40.7m between March 2020 and September 2023.

PPC CEO Matias Cardarelli said "I am pleased with the timely completion of the sale of our stake in Cimerwa. The disposal allows us to focus on our core Southern African markets, where we see opportunities to drive improved profitability and secure a more sustainable return on capital."

India: Adani Group subsidiary ACC has completed its acquisition of the outstanding 55% stake in Asian Concrete and Cements for US$93.2m. The Economic Times newspaper has reported that ACC expects the acquisition to strengthen its market position in North India.

Asian Concrete and Cements owns the 1.3Mt/yr Nalagarh cement plant in Himachal Pradesh and the 1.5Mt/yr Rajpura cement plant in Punjab. The assets raise the installed capacity of ACC to 38.6Mt/yr and that of Adani Group to 77.4Mt/yr. It plans to reach 106Mt/yr in the 2026 financial year, and 140Mt/yr in the 2028 financial year.