YUGPK Increases Stake in Gornozavodskcement Nearing 100%

South Ural Mining and Processing Company [YUGPK — Rus. for SUMPC] increased its stake in the Gornozavodsky cement plant from 77.14% to 96.89%. The information gathered from SPARK-Interfax — the information disclosure service, publishing a notice on the change of co-owners.

In December of 2018 YUGPK bought 77.14% stake in Gornozavodskcement. Another 17.01% remained with the Cypriot company Photenalo Limited. In August of this year, the board of directors of Gornozavodskcement unanimously approved the request of YUGPK to repurchase its shares. It will allow the main shareholder (YUGPK) to bring its share closer to 100%.

Now YUGPK plants in Novotroitsk and in Gornozavodsk are producing products under the brand of AKKERMANN Cement. This year, the management of YUGPK announced the intention of creating AKKERMANN Cement holding company.

The total capacity of the two plants is up to 4 million tpa, making YUGPK one of the largest Russian cement producers. The main consumers of Gornozavodskcement products are enterprises of the Perm Territory, the Republic of Tatarstan, the Sverdlovsk and Kirov Regions. Last year, the production volume amounted to 1.458 million tons of cement, showing an increase of 22%.

At the beginning of 2019 YUGPK rebounds from four straight years of financial loss, making 8.7 billion rubles of revenue (+20%) and netting 438 million rubles in profit according to the results of 2018 financial year.