IFC Invests $24 Million in Algeria Cement Plant: Plant Expected to Create 600 Direct, 800 Indirect Jobs.
In Cairo:
Riham Mustafa
Phone: +202 24 619 140
Fax: +202 24 619 145
E-mail: RMustafa@ifc.org
In London:
Carmen Powell
Phone: +44 207 286 5439
Email: cpowell@ifc.org
Cairo, Egypt, July 6, 2009—IFC,
a member of the World Bank Group, announced that it will make an
equity investment of up to $24 million in cement maker ASEC Algeria to
support the construction of a cement plant that will create more than 1,000
jobs and help meet Algeria’s growing demand for high-quality building
material.
The cement plant will be built in Djelfa,
one of Algeria’s least developed regions, where it will support local
small and medium enterprises in the transport, maintenance, and general
services sectors. The project is expected to create 600 direct and 800
indirect jobs.
Chairman and Chief Executive Officer
of ASEC Algeria, Giorgio Bodo, said, “The construction of this cement
plant in Djelfa marks our first agreement with IFC and we look forward
to deepening our partnership with them on future projects. Our investment
in Djelfa also confirms our commitment to Algeria, a country we consider
crucial in our strategy.”
IFC Director for the Middle East and
North Africa, Michael Essex, said, “This investment in ASEC Algeria fits
with our strategy to increase cross-border investments in the region and
assist Algeria diversify its economy. This investment will also help develop
the cement sector in the country, and we hope it will have an important
demonstrative effect that will encourage other investments in Algeria.”
Algeria’s government is targeting infrastructure
and housing development to diversify the economy and improve services.
The future Djelfa plant will help meet current and future demand for cement
created by projects in these sectors.
The plant is expected to have an annual
production capacity of 3.1 million tons. The total cost of the project
is expected to be about $550 million.
ASEC Cement, the owner of ASEC Algeria,
invests in emerging cement markets in the Middle East and North Africa
and was created by Citadel Capital, a long term partner of IFC.
About IFC
IFC, a member of the World Bank Group, creates opportunity for people to
escape poverty and improve their lives. We foster sustainable economic
growth in developing countries by supporting private sector development,
mobilizing private capital, and providing advisory and risk mitigation
services to businesses and governments. Our new investments totaled $16.2
billion in fiscal 2008, a 34 percent increase over the previous year. For
more information, visit www.ifc.org.
About ASEC Cement is a Platform
Company for investments in emerging cement markets in the Middle East and
North Africa. Created by Citadel Capital and a group of leading co-investors,
ASEC Cement is growing into a leading regional cement production group
that will have a combined production capacity of approximately 11 million
tons per annum in 2013 spanning six countries from Algeria to Iraq-(Kurdistan).
About Citadel Capital
Please visit http://www.citadelcapital.com/.
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