HeidelbergCement AG plans to double to 65.1 per cent its stake in the Indonesian cement company Indocement, the company said.
To increase the stake, the company announced the issuing of 6.53m new shares.
The transaction is estimated at EUR310m ($381.86m). The investment will be made by two companies owned by members of the Merckle family, the most influential shareholders group in the cement company.
HeidelbergCement expects higher growth potential and better income returns from the Asian markets than from those in western Europe and North America, company’s CEO, Bernd Scheifele, said. Indocement operates three plants with a combined capacity of 16.5Mt and covers one-third of the Indonesian cement demand.
