Asia Cement China owner bids to take company private (updated)

Asia Cement

05/06/2024 12:16

(Updates with further details and background from paragraph 2
onwards)
       June 5 (Reuters) - Asia Cement (China) Holdings Corp
 0743.HK  said on Wednesday its majority owner, Taiwan-listed
Asia Cement Corp  1102.TW , has offered to take it private,
valuing the Chinese cement maker at HK$5.05 billion ($646.6
million). 
    Asia Cement Corp currently owns 67.73% of its Hong-Kong
listed unit, which posted a first-quarter loss of around 130
million yuan ($17.9 million) in April.
    As part of the offer, the Taiwan-listed firm is offering
HK$3.22 for each Asia Cement China share it does not already
own, reflecting a discount of 3% to the Hong Kong firm's last
close on May 28.
    China is currently grappling with a debt-laden property
market, adding to the woes of construction suppliers in the
country.
    Trading in Asia Cement China shares, was suspended in Hong
Kong on May 28 pending an announcement on takeovers and mergers
code after the shares jumped as much as 47%, their biggest
intraday gain since November 2008.  



($1 = 7.2468 Chinese yuan renminbi)

 (Reporting by Rishav Chatterjee in Bengaluru; Editing by Sonia
Cheema)
 ((Rishav.Chatterjee@thomsonreuters.com;))