Caribbean Cement pays first instalment of asset buyback

Jamaica’s Caribbean Cement Co Ltd (Carib Cement) has paid the first instalment of JMD1.3bn (US$10.50m) on an asset buyback agreement with its parent company, Trinidad Cement Ltd (TCL).

The agreement means that Carib Cement has 90 days to pay US$118m to TCL, to reclaim ownership of Kiln 5 and Mill 5 at its facility in Rockfort, Kingston, according to The Jamaica Gleaner.

"The initial payment of JMD1.3bn towards the acquisition represents a significant investment in plant and equipment, improving the company's asset base," Carib Cement said in a statement.

The company recently recorded a six per cent YoY revenue increase in its unaudited results for the 1Q18, rising to JMD4.34bn from JMD4.09bn. However, profit fell 27 per cent to JMD334.32m.