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
Read the article online at: https://www.worldcement.com/the-americas/04082016/titan-cement-invests-in-brazil-47/