EBRD postpones decision on increasing stake in Azerbaijani cement plant
By Nigar Abbasova
The European Bank for Reconstruction & Development's (EBRD) Board of Directors has postponed the pending decision on raising the bank’s stake in the equity capital of Holcim Azerbaijan OJSC up to 20 percent but retains plans to double its participation, according to the bank's message.
The issue is scheduled to be discussed by the EBRD's Board of Directors on September 7, 2016.
Main objective of the project is supporting the company in the improvement of energy efficiency through the introduction of alternative fuels in its fuel mix.
Previously, the consideration of the issue was scheduled for July 20.
The amount of EBRD shares in Holcim Azerbaijan amounts to 10 percent while the share of Holcim Auslandbeteiligungs GmbH and individuals amount to 10 and 14 percent respectively.
Lafarge Holcim, which is considered to be the world's most advanced group in the industry of building possesses the largest volume of share capital, which amounts to 66 percent.
The company is engaged in the provision of managerial, technical and commercial resources. The company acquired a controlling stake in Holcim Azerbaijan, formerly known as Garadagh OJSC, after a privatization process in 1999.
Holcim Azerbaijan which is a part of Holcim Group (Switzerland) is considered to be one of the largest cement and clinker producers in Azerbaijan. The company has a production capacity of 1.7 million tons per year.
Some 40 percent of the cement market in Azerbaijan accounts for Holcim Azerbaijan’s products.
The support of EBRD to the company is considered to be a sign of its continued commitment to the non-oil sector of the country.
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