Long-built 220 million yuan purchase of Guangdong cement plant integrated production expansion and synergy effect
CKI (01038) yesterday announced the acquisition of Chuangdong Chemical, which is located in Yunfu City, Guangdong Province, with a cement grinding plant and three terminal berths, for a price of 180 million yuan (approximately HK$224 million).
3 berths facilities
According to the announcement, the acquisition is divided into two parts. The first part is a cement grinding plant covering an area of 102 acres and a cement mill equipped with a high-efficiency roller press. The designed capacity is 1 million metric tons per year of ground cement. The cement produced is widely used. Highways, bridges, subways, water conservancy, real estate, and civil buildings. The second part of the acquisition is 3 marina berth facilities, covering an area of 58 acres with a coastline length of 270 meters. Each berth has a berthing capacity of 3,000 metric tons of cement and a throughput of approximately 3 million metric tons per year. It can provide cargo loading, unloading and warehousing. service.
Chang Jian believes that the acquisition not only provides stable returns, but also reinforces the long-established status of China-Hong Kong infrastructure materials suppliers.
The Group stated that after the acquisition, it can strengthen the vertical integration facilities of the cement production business of its subsidiary, Green Island, and the cement clinker produced by Greenland Cement (Yunfu) can be transported to the plant of Chuangdong Chemical to produce grinding cement and use the transportation provided by the terminal. Facilities to expand synergies.