20th Mar 2008 08:00
CRH PLC20 March 2008 NEWS RELEASE 20 March 2008 CRH SIGNS CONTRACT FOR ACQUISITION OF 50% EQUITY STAKE IN MY HOME INDUSTRIESLIMITED, INDIA CRH plc, the international building materials group, announces that it hassigned an agreement to acquire a 50% shareholding in My Home Industries Limited("MHIL"), a privately-owned cement company with its head office in Hyderabad,India. CRH's total investment will be €290 million. CRH and the existing ownerswill jointly manage MHIL and both parties will have equal Board and managementrepresentation. The transaction is expected to be completed during the secondquarter of 2008. MHIL's operations consist of three cement production units at Mellacheruvuvillage in central Andhra Pradesh with a separate grinding plant underconstruction near Vishakapatnam on the coast of Andhra Pradesh. Current annualcement production capacity is 3.2 million tonnes, which will increase to 4.2million tonnes on completion of the grinding plant in early 2009. MHIL hasstrong market positions in central and eastern Andhra Pradesh and completion ofthe grinding plant will strengthen its position in these markets. Overall MHILis the number two supplier to the 15 million tonnes Andhra Pradesh market. Commenting on the development, Liam O'Mahony, CRH Chief Executive, said: "MHIL is one of the most modern cement producers in India with excellentreserves and a strong management team and is a market leader in the dynamicAndhra Pradesh market. As a first investment in India, we are delighted to beassociated with such a strong company and look forward to developing thebusiness with our partner as the Indian economy expands." Contact CRH at Dublin 404 1000 (+353 1 404 1000) Liam O'Mahony, Chief Executive Myles Lee, Finance Director Eimear O'Flynn, Head of Investor Relations Maeve Carton, Group Controller CRH plc, Belgard Castle, Clondalkin, Dublin 22, Ireland TELEPHONE +353.1.4041000 FAX +353.1.4041007 E-MAIL [email protected] WEBSITE www.crh.com Registered Office, 42 Fitzwilliam Square, Dublin 2, Ireland This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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