Brazil’s Camargo Correa Cimentos acquires controlling stake in Mozambican cement producer

14 June 2010

Sao Paulo, Brazil, 14 Jun – The Brazilian company Camargo Correa Cimentos has acquired 51 percent of Cimentos de Nacala (Cinac) of the Mozambican Insitec group.

The unit in the port city of Nacala, Nampula province, has an installed capability to produce 350,000 tonnes of cement per year.

The deal’s figures were not revealed in the Saturday announcement by the company, a member of the Camargo Correa group. It also acquired limestone reserves near the plant.

Last February, Camargo Correa Cimentos purchased a stake in Portuguese cement producer Cimpor as part of its internationalisation project.

Camargo Correa Cimentos operates in Brazil (with seven plants and the Caue and Cimentos Brasil brands), Argentina (nine plants and the Loma Negra brand), Paraguay (Yguazu brand) and now in Mozambique (one plant and the Cinac brand).

Net consolidated revenue from the cement business was 2.3 billion reais in 2009.

Insitec is a Mozambican conglomerate operating mainly in the heavy construction industry. It will maintain a 49 percent stake in Cimentos de Nacala. (macauhub)