Asia Cement China owner proposes $647M deal to privatise company
ECONOMY & POLICY

Asia Cement China owner proposes $647M deal to privatise company

Construction suppliers are still struggling with China's property industry, which is severely affected by the crisis. As a result, the majority owner of Asia Cement (China) Holdings Corp. has proposed to take the cement producer private, valuing it at $646.66 million, according to the businesses. As part of the deal, the Hong Kong-based company's most recent closing on May 28 is being discounted by 3% to HK$3.22 for each Asia Cement China share that Taiwan-listed Asia Cement Corp. does not currently hold. After Asia Cement China's shares increased by as much as 47% their largest intraday increase since November 2008?trading in the company's shares was halted in Hong Kong on May 28 in anticipation of an announcement on takeovers and mergers.

Additionally, on May 27, shares increased by 14%, bringing the company's market capitalization to $666 million. However, this is still far less than its high of $2.8 billion set in July 2019. The Hong Kong-listed company has requested permission from the stock market to start trading again on Thursday. Currently holding 67.73% of the Hong Kong-listed company, Asia Cement Corp. reported a first-quarter loss of around $17.9 million in April. China is struggling with a heavily indebted real estate market, which has impacted domestic construction suppliers and compelled Beijing to declare stimulus plans in an attempt to halt the housing sector's downturn.

Asia Cement China's top and bottom lines have declined in recent years as a result of a number of issues, including the COVID-19 outbreak, the housing market crisis, increased borrowing costs, and intense competition. Listed in Taiwan The shipping-to-telecom giant Far Eastern New Century Corp. is the owner of Asia Cement Corp. 

Construction suppliers are still struggling with China's property industry, which is severely affected by the crisis. As a result, the majority owner of Asia Cement (China) Holdings Corp. has proposed to take the cement producer private, valuing it at $646.66 million, according to the businesses. As part of the deal, the Hong Kong-based company's most recent closing on May 28 is being discounted by 3% to HK$3.22 for each Asia Cement China share that Taiwan-listed Asia Cement Corp. does not currently hold. After Asia Cement China's shares increased by as much as 47% their largest intraday increase since November 2008?trading in the company's shares was halted in Hong Kong on May 28 in anticipation of an announcement on takeovers and mergers.Additionally, on May 27, shares increased by 14%, bringing the company's market capitalization to $666 million. However, this is still far less than its high of $2.8 billion set in July 2019. The Hong Kong-listed company has requested permission from the stock market to start trading again on Thursday. Currently holding 67.73% of the Hong Kong-listed company, Asia Cement Corp. reported a first-quarter loss of around $17.9 million in April. China is struggling with a heavily indebted real estate market, which has impacted domestic construction suppliers and compelled Beijing to declare stimulus plans in an attempt to halt the housing sector's downturn.Asia Cement China's top and bottom lines have declined in recent years as a result of a number of issues, including the COVID-19 outbreak, the housing market crisis, increased borrowing costs, and intense competition. Listed in Taiwan The shipping-to-telecom giant Far Eastern New Century Corp. is the owner of Asia Cement Corp. 

Next Story
Equipment

Caterpillar Debuts Three New Cat Excavators at EXCON 2025

Caterpillar Inc., a global leader in construction and mining machinery, strengthened its commitment to India’s infrastructure growth with the debut of three new Cat® hydraulic excavators at EXCON 2025, held from December 9–13 at the Bangalore International Exhibition Centre. The new models—Cat 321, Cat 322 and Cat 324—mark a significant step forward in delivering efficient, digital-ready equipment tailored for India’s evolving construction needs.Designed to support sustainability and productivity on modern jobsites, the machines feature advanced powertrains and intelligent electrohy..

Next Story
Equipment

JK Tyre Expands OTR Lineup with Four New Launches at EXCON 2025

JK Tyre & Industries, one of India’s leading tyre manufacturers, introduced four new Off-the-Road (OTR) tyres at the 13th edition of CII EXCON 2025, South Asia’s largest construction equipment exhibition, underway at the Bangalore International Exhibition Centre. The latest additions strengthen the company’s OTR portfolio and reaffirm its focus on delivering advanced mobility solutions for construction, mining and industrial operations.The new tyres were unveiled by R Mukhopadhyay, Director (R&D), JK Tyre. Among the highlights was the debut of the SKY GRIP, a specialised tyre des..

Next Story
Equipment

ACE, Sanghvi Movers Ink MOU to Boost India-Made Heavy Crane Adoption

Action Construction Equipment (ACE), the world’s largest pick-and-carry crane manufacturer and a leading Indian construction equipment maker, has entered into a strategic Memorandum of Understanding with Sanghvi Movers, Asia’s largest and the world’s fifth-largest crane rental company. The partnership aims to accelerate the deployment of indigenously manufactured heavy slew cranes, particularly truck cranes and crawler cranes, across large-scale infrastructure and industrial projects in India.The alliance aligns strongly with the Government of India’s “Aatmanirbhar Bharat” and “M..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Open In App