South Africa’s largest cement producer, PPC, will remain independent, after rebuffing is final suitor, LafargeHolcim. According to a release to the Johannesburg Stock Exchange, the PPC board has advised the Swiss multinational that “it does not wish to pursue a transaction.”
LafargeHolcim also confirmed in a press statement that is was not longer in talks with PPC.
“The independent board is of the view that PPC shareholders’ value is best served by optimising its current business strategy,” the South African company said.
PPC’s business strategy includes the construction of a “mega plant” in the Western Cape of South Africa, a semi-brownfield project the company announced at the end of November. The new plant would be located at the company’s current Riebeeck site.
PPC would also focus on developing its existing investment pipeline in the rest of Africa, as well as optimising operations to “further improve competitiveness in a subdued market.”
LafargeHolcim was the fourth company to withdraw its interest in taking over PPC, following Dangote Cement, CRH, and Fairfax Africa Investments – a Canadian investment company that had hoped to force a merger between PPC and its closest rival, AfriSam.
Read the article online at: https://www.worldcement.com/africa-middle-east/14122017/ppc-to-remain-independent/