Titan Cement Group has announced that it has concluded an agreement to acquire an equity stake in Brazilian Cement Manufacturer Companhia Industrial de Comento Apodi. Through a joint venture agreement, Cimento Apodi will be jointly owned and controlled on a 50/50 basis by the Bias Branco Group and a Titan/Sarki vehicle. The amount of Titan’s investment, which will be determined at closing, is estimated to be about US$100 million and will be financed using Titan’s available cash.
The assets of Cimento Apodi include a modern integrated cement plant in Quixeré operating since 2015 and a grinding cement plant in Pecém port, close to the city of Fortaleza, operating since 2011. Cimento Apodi has production capacity of over 2 million tpy of cement.
With this investment, Titan expands its geographical footprint into a new region, entering a promising market with long-term potential, joining forces with well-established local partners and investing in state-of-the-art assets.
Banco Itaú BBA and Mattos Filho acted, respectively, as financial and legal advisors to Titan for this transaction.
Adapted from press release by Rebecca Bowden