Irish building materials group CRH is to acquire a 26 per cent stake in Chinese cement group Jilin Yatai Group for an undisclosed sum.
The Jilin Yatai Group is one of the largest cement groups in China and is listed on the Shanghai Stock Exchange. It comprises four integrated cement plants and one grinding station, with total cement capacity of approximately nine million tonnes per annum.
CRH have an option to acquire further shares in the company up to a maximum of 49 per cent after three years.
CRH chief executive Liam O'Mahony said: "CRH's proposed equity stake in Yatai Cement provides an excellent opportunity us to develop a strong position over time in what we believe are attractive markets in northeast China with good long-term growth prospects."
Completion of the proposed transaction is subject to detailed negotiation and due diligence, and to Chinese government approval.
