ASEC Holding, Citadel Capital’s platform company in regional cement production, engineering and construction industries, has announced that that it has acquired an additional 9.47% of ASEC Cement; one of its key portfolio companies in a deal worth US$ 80 million in cash and shares. The transaction will lift ASEC Holding’s stake in ASEC Cement to 61.04%. The selling party is the Emirates International Investment Company (EIIC), a long-time partner in a number of Citadel Capital’s Opportunity Special Funds and a shareholder in the company.
ASEC Cement’s production assets are said to be on track to span countries from Algeria to Iraq-Kurdistan within the next three years. Citadel Capital’s Managing Director and Co-Founder Hisham El-Khazindar speaking about the deal said, “Our aim in building out ASEC Cement is to create one of the largest and most efficient independent cement producers in the Middle East and Africa. We are well on our way, and EIIC’s decision to reinvest a large portion of the proceeds from the exit of ASEC Cement, into ASEC Holding through a capital increase is a testament to our limited partners’ belief in this goal”.
ASEC Cement is planning to control more than 12 million t of cement by 2013. It plans to start building its first Egyptian greenfield plant next month with a view to bringing it on stream in 2012. The company currently has stakes in Misr Cement Qena in Egypt and Zahana Cement in Algeria.
Read the article online at: https://www.worldcement.com/africa-middle-east/25022010/asec_holding_in_us_80_million_deal_with_asec_cement/