Washington, D.C., May 19, 2010—IFC,
a member of the World Bank Group, has signed an agreement with HeidelbergCement
AG to make an equity investment of up to $110 million to improve energy
efficiency and increase capacity of the company’s operations in Sub-Saharan
Africa. In addition, other financial partners are expected to inject up
to $ 70 million.
Through HeidelbergCement’s holding
entity Scancem International ANS, the company owns facilities in Benin,
Gabon, Ghana, Liberia, Sierra Leone, Tanzania, and Togo. IFC’s equity
investment will support the modernization and expansion of these Sub-Saharan
subsidiaries. The investment program will increase HeidelbergCement’s
clinker and cement production capacity and improve energy efficiency, thus
reducing its carbon footprint.
“We are very happy about the partnership
that creates a win-win situation for all parties involved,” said
Dr. Bernd Scheifele, CEO of HeidelbergCement. “Through the cooperation
with IFC, HeidelbergCement secures attractive financing for the development
of local cement capacities in Africa. In this partnership we will contribute
our long-standing international experience in the construction material
industry and strong governance, ethical, and environmental management policies.
The investment program will stimulate the improvement of local infrastructure
and housing, create additional jobs, and improve environmental standards.”
Dimitris Tsitsiragos, IFC Director for
Global Manufacturing and Services,, said, “IFC’s support of HeidelbergCement’s
strategic expansion will increase the supply of locally produced cement
in the region and help stimulate the development of infrastructure. It
also will improve production standards and help create employment opportunities.”
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 $14.5 billion in fiscal 2009, helping channel capital into developing
countries during the financial crisis. For more information, visit www.ifc.org.
HeidelbergCement is the global market
leader in aggregates and a prominent player in the fields of cement, concrete
and other downstream activities, making it one of the world’s largest
manufacturers of building materials. The company employs some 53,000 people
at 2,500 locations in more than 40 countries.