LafargeHolcim enters aggregate business
Stocks of LafargeHolcim Bangladesh, a multinational cement maker listed with the Dhaka STOCK MARKET (DSE), rose 9.80 per cent yesterday on news that it built a foray in to the aggregate business.
Aggregate is a broad group of coarse particulate materials used in development, including sand, gravel, crushed rock, slag, recycled concrete and geo-synthetic aggregates.
LafargeHolcim Bangladesh commenced professional production of clear-size graded aggregate previous Saturday, the business said in a good filing on the DSE.
The aggregate is graded limestone chips having uniform size and condition conforming to international standards, it said.
The company has create the crushing unit with ancillary equipment on the premises of its existing integrated clinker and cement manufacturing facility in Chhatak, Sunamganj.
It has the capacity to manufacture 12 lakh tonnes of clear-sized graded aggregate yearly. It invested Tk 40.1 crore, which came from the company's unique fund, the disclosure added.
The annual require for clear-sized aggregate is just about 1.5 crore tonnes and Bangladesh depends on imports from the countries such as for example India, Bhutan, Vietnam, Oman and the UAE for source.
Thanks a lot to the manufacturing unit, LafargeHolcim Bangladesh will catch about 2 % show of the aggregate market.
"We trust that the foray into the aggregate industry will improve the company's earnings," explained Munna Rayhan, a stock investor.
"LafargeHolcim Bangladesh aims to transform into a building materials solutions company by adding aggregates as a good value-added building material," said Thuhidul Islam, manager for external communications of the business.
The company has started commercial production of clear-sized graded aggregate conforming to international and Bangladesh standards from January 9, he said.
By making aggregates, LafargeHolcim Bangladesh can help the country conserve forex, Islam added.
On January 7, LafargeHolcim, the world's biggest cement maker, announced a $3.4 billion package to get Firestone Building Goods from Japan's Bridgestone Company in its biggest acquisition in greater than a decade.
Firestone Building Products, located in the United States, is a leader in commercial roofing and construction envelope alternatives, with net revenue of $1.8 billion.
"This acquisition is a milestone in LafargeHolcim's transformation to become the global leader in ground breaking and sustainable building solutions," the company said on its site.
