"Holderbank" Financière Glaris Ltd. ("Holderbank") has agreed to acquire 23.4 percent of the share capital of Shanghai exchange-listed Huaxin Cement Company Ltd. for around USD 20 million.
Huaxin ranks among the top three cement producers in China and is a leader in cement technology. The company has a strong market position in Hubei Province, a key economic region of Central China. The Huaxin plant is located in Huangshi City, some 80 kilometers southeast of Wuhan. The company also holds a stake in a cement grinding station in Nantong. Huaxin's annual cement capacity totals 1.7 million tonnes. Under a major expansion project currently underway, the cement capacity will be doubled to 3.5 million tonnes to enable the company to meet buoyant demand for high quality cements. The new facility is scheduled to come on stream in spring 1999. Cement consumption in the Hubei Province is approximately 22 million tonnes per annum. Through its New Zealand Group company, "Holderbank" has held an interest in Suzhou Golden Cat Cement near Shanghai since 1995.
With majority and minority shareholdings in over 60 countries on all continents, "Holderbank" is the world's leading supplier of cement as well as aggregates (gravel and sand), concrete and construction-related services.