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Jaypee Group to acquire stake in Andhra Cements

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Jaypee Group, an infrastructure and real estate major, is acquiring a controlling stake in GP Goenka group’s Andhra Cements. It is the second transaction between the two groups in the last 18 months. The deal involves Jaypee Development Corporation, a privately held arm of the group, acquiring 66.7 per cent in Andhra Cements for Rs 234.7 crore. This will be done through share purchase from the GP Goenka group and a preferential allotment of fresh shares, followed by an open offer. While Rs 177 crore will be used for fresh equity infusion, the remaining will be used to buy a part of the stake currently held by the GP Goenka group. GP Goenka will remain a minority shareholder in Andhra Cements after the transaction. The units of Andhra Cements are currently not operational and the company reported a loss of Rs 35.5 crore on net sale of Rs 65.5 crore last year. Once the current expansion plan of Andhra Cements is completed, Jaypee can add another 3.5 mtpa to its capacity.The move is being seen as a prelude to the group’s plan to sell stake in cement business. The Japyee Cement Corp will have an annual capacity of 8.5 million tonnes and plants in three important states of Andhra Pradesh, Gujarat and Karnataka.

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Concrete

Holcim UK drives sustainable construction

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Holcim UK has released a report titled ‘Making Sustainable Construction a Reality,’ outlining its five-fold commitment to a greener future. The company aims to focus on decarbonisation, circular economy principles, smarter building methods, community engagement, and integrating nature. Based on a survey of 2,000 people, only 41 per cent felt urban spaces in the UK are sustainably built. A significant majority (82 per cent) advocated for more green spaces, 69 per cent called for government leadership in sustainability, and 54 per cent saw businesses as key players. Additionally, 80 per cent of respondents stressed the need for greater transparency from companies regarding their environmental practices.

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Concrete

GCCA releases LCR system

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The Global Cement and Concrete Association (GCCA) has launched the Low Carbon Ratings (LCR) system for cement and concrete, a new global rating based on products’ carbon footprints. The system uses a clear AA to G scale to help customers prioritise sustainability in material selection across construction sectors worldwide. The GCCA says that the LCR system is designed to be easily recognisable, with a simple visual graphic that indicates a product’s rating and provides consistency and comparability to other products.

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Concrete

FLSmidth opens eco-friendly plant in Casablanca

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FLSmidth has inaugurated a €21 million mill liner manufacturing plant in Casablanca, covering 11,250m² with a production capacity of 6,500 tonnes annually. The LEED-certified facility significantly reduces carbon emissions by up to 56 per cent and fully recycles water used in the manufacturing process. Up to 250 jobs will be created in the Valparaíso region. Mikko Keto, CEO, highlighted the plant as a symbol of FLSmidth’s commitment to sustainable mining and community engagement in South America. Earlier in 2024, the Denmark-based company announced plans to sell its cement division to sharpen its focus on mining operations.

 

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