Siam City Cement Company is reportedly taking a 40% stake in a JV with Chip Mong Cement Corporation in a new company to be named Chip Mong Insee Cement Corporation. Chip Mong Cement is a Cambodian company and the new JV would build a greenfield cement plant in Cambodia, the reports stated.
Chip Mong Insee Cement Corporation will reportedly begin operations at the end of this year with US$150 million registered capital. In addition to the two named companies, three individuals will also hold part of the joint venture. The company will also look at investment opportunities elsewhere in ASEAN, including Laos, Myanmar and Vietnam.
This will be SCCC’s first project in Cambodia and it has been suggested that the investment will add 3% profit to the company’s bottom line annually from 2018.