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Enterprise Value Per Tonne Cement Industry

Cement makers' valuations near replacement cost Business ...

2013-01-20  For instance, ACC — the largest domestic cement maker — is presently at a valuation of $100 per tonne, up 32 per cent against $76 per tonne in October. Similarly, enterprise value per tonne of Grasim and UltraTech jumped 48 per cent and 41 per cent to $98 per tonne and $86 per tonne, respectively.

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Industry Analysis: Cement – Part 2 Safal Niveshak

2014-07-02  Cement stocks should generally be valued on Enterprise Value per Tonne (or EV/tonne) basis, as this suggests roughly how much it would take for someone to set up a given cement capacity. The formula for EV is “Market capitalization + Debt – Cash”. Think of EV as the theoretical takeover price. It is more comprehensive than market capitalization, which only

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The cement industry at a turning point: A path toward ...

Despite the ROIC declines, industry valuation (enterprise value compared with invested capital) has remained stable. This is a result of capital-market expectations of significant performance improvement for the industry, as reflected in significantly increased multiples. To justify those valuations, the industry generally and large multiregional players in particular must find a path

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Looking for value in the cement sector

Our fair value estimate for Ambuja Cements is Rs 262 per share and that of Ultratech is Rs 2,319, which puts the 1-year forward valuation of Enterprise Value per tonne of cement at about $200 per tonne. Both companies have been subject to cyclical downturns in construction activity of late, driven by slowing economic activity, deferral of infrastructure projects, and high interest

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Comparison of Top 5 Cement Companies UltraTech vs Shree ...

Top 5 cement companies Enterprise value per tonne This signifies the replacement cost for a particular company. Hence higher the EV per tonne the better as it means there are higher barriers to replace the company. Here, Shree Cement leads the pack with $235 /tn and ACC ranks last with $83/tn.

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Cement industry: Another correction soon - Rediff Business

2009-05-12  The cement industry has shown yet another signal of correction with valuations (enterprise value/tonne) of the domestic cement giants inching closer to the replacement cost. During the last six months, since the cement market witnessed an unexpected surge in demand which later was followed by incessant rise in cement prices, the valuations have jumped by 48 per

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Jaiprakash buy cements UltraTech’s No. 1 position - The ...

2014-12-24  The enterprise value per tonne of cement capacity acquired by the Aditya Birla Group firm was $120-130 per tonne. UltraTech, which has a strong balance sheet and steady operating cash flows, is ...

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Deal makes Mysore second most valuable cement firm

The acquisition cost of $95.53 million (Rs 436.82 crore) for a majority stake in Mysore Cement translates into an enterprise value of $117 per tonne -- $17 more than what Holcim paid for ...

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MAs in India's cement industry (To go with: Birla Corp in ...

2015-08-17  2005: Holci acquires stake in ACC at an enterprise value of $111 per tonne. Later acquires stake in Ambuja Cement in 2006 at an enterprise value of $193 per tonne. 2006: Heidelberg Cement Group enters India via a 50:50 joint venture in Indorama Cement and acquires majority stake in Mysore Cement.

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Enterprise Value Multiples by Sector (US)

Enterprise Value Multiples by Sector (US) Data Used: Multiple data services. Date of Analysis: Data ... Industry Name: Number of firms: EV/EBITDARD: EV/EBITDA: EV/EBIT: EV/EBIT (1-t) EV/EBITDARD: EV/EBITDA: EV/EBIT: EV/EBIT (1-t) Advertising: 61: 8.69: 8.86: 16.08: 20.22 :

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The cement industry at a turning point: A path toward ...

Despite the ROIC declines, industry valuation (enterprise value compared with invested capital) has remained stable. This is a result of capital-market expectations of significant performance improvement for the industry, as reflected in significantly increased multiples. To justify those valuations, the industry generally and large multiregional players in particular must find a path back ...

More

Looking for value in the cement sector

Our fair value estimate for Ambuja Cements is Rs 262 per share and that of Ultratech is Rs 2,319, which puts the 1-year forward valuation of Enterprise Value per tonne of cement at about $200 per tonne. Both companies have been subject to cyclical downturns in construction activity of late, driven by slowing economic activity, deferral of infrastructure projects, and high interest rates. This ...

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Cement: as demand outlook dims further, valuations get a ...

2019-09-11  EV stands for enterprise value and Ebitda is short for earnings before interest, tax, depreciation and amortization. Needless to say, the reality check on the cement industry

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cement stocks: Costs on a leash, cement stocks set for ...

2020-04-10  On the valuation front, cement companies trade at reasonable valuations after the recent fall in the stock market. Their enterprise value (EV) per tonne is at nearly 50% discount to the replacement value, a level not seen even during the financial crisis in 2008. Also, their EV/EBITDA is at 20-40% discount to the 10-year average.

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A Note on Cement Industry – 2 – Probe42-Probe Information ...

2020-07-15  Further as per media release dated Feb 06, 2020, the Kolkata-based diversified conglomerate EMAMI Ltd announced that it has entered into a binding agreement with Nuvoco Vistas Corp, part of the Nirma group, for divesting its 100.0% equity stake in Emami Cement for an enterprise value of Rs 5,500 cr. The transaction is subject to the customary approvals including from the

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How to Use Enterprise Value to Compare Companies

2021-01-22  Enterprise value (EV) is an indicator of how the market attributes value to a firm as a whole. Enterprise value is a term coined by analysts to discuss the aggregate value of

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MAs in India's cement industry (To go with: Birla Corp in ...

2015-08-17  2005: Holci acquires stake in ACC at an enterprise value of $111 per tonne. Later acquires stake in Ambuja Cement in 2006 at an enterprise value of $193 per tonne. 2006: Heidelberg Cement Group enters India via a 50:50 joint venture in Indorama Cement and acquires majority stake in Mysore Cement.

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Shree Digvijay Cement recently changed hands and investors ...

In terms of a key valuation indicator for cement companies, the enterprise value per tonne, the valuation done by Kotak worked out to just ≈$22 per tonne against a benchmark of $80-$100 per tonne for smaller cement companies around that time. The valuation done by Kotak was extremely low especially for a profitable company with a low debt. Agreeably, the promoters chose an opportune time ...

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Enterprise Value Multiples by Sector (US)

Enterprise Value Multiples by Sector (US) Data Used: Multiple data services. Date of Analysis: Data ... Industry Name: Number of firms: EV/EBITDARD: EV/EBITDA: EV/EBIT: EV/EBIT (1-t) EV/EBITDARD: EV/EBITDA: EV/EBIT: EV/EBIT (1-t) Advertising: 61: 8.69: 8.86: 16.08: 20.22 : 10.30 ...

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Enterprise Value – EV Definition

2020-12-21  Enterprise value (EV) is a measure of a company's total value, often used as a comprehensive alternative to equity market capitalization. EV includes in

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The cement industry at a turning point: A path toward ...

Despite the ROIC declines, industry valuation (enterprise value compared with invested capital) has remained stable. This is a result of capital-market expectations of significant performance improvement for the industry, as reflected in significantly increased multiples. To justify those valuations, the industry generally and large multiregional players in particular must find a path

More

Cement: as demand outlook dims further, valuations get a ...

2019-09-11  EV stands for enterprise value and Ebitda is short for earnings before interest, tax, depreciation and amortization. Needless to say, the reality check on the cement industry’s valuations was ...

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A Note on Cement Industry – 2 – Probe42-Probe Information ...

2020-07-15  Further as per media release dated Feb 06, 2020, the Kolkata-based diversified conglomerate EMAMI Ltd announced that it has entered into a binding agreement with Nuvoco Vistas Corp, part of the Nirma group, for divesting its 100.0% equity stake in Emami Cement for an enterprise value of Rs 5,500 cr. The transaction is subject to the customary approvals

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French co Vicat picks up 51% in Bharathi Cement - The ...

2010-04-20  ET had earlier reported that Bharathi is looking at an enterprise value of around $230 per tonne for a stake sale. This puts the value of the company at $575 million, as it has a current production capacity of 2.5 mt. The acquisition will help Vicat to boost its presence in the four southern country, which together constitute about 40% of the total market. Scarcity of

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Cement prices to drop further - The Hindu BusinessLine

2019-11-24  This got a further fillip from soaring industry-wide realisations, thus, leading to decade-high EBITDA per tonne for many. After two successive years of lull in cement prices, January 2019 showed ...

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Sagar Cements in talks to buy Jaypee Group's Andhra ...

2016-01-19  If the deal transpires at Rs 1,100 crore, it will translate into an enterprise value of $64 per tonne of cement capacity. This is lower than the average valuations of over $100 per tonne in case of the recent deals in the sector. This also means the company will be valued between Rs 300 crore and Rs 350 crore excluding the debt, which is at a premium to its

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Why you should hold the stock of Shree Cements - The Hindu ...

2020-11-29  In the September quarter, while the major players in the industry reported a 2-8 per cent uptick in sale volumes, Shree Cements’ volumes surged by 14.2 per cent y-o-y to 6.53 million tonnes ...

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Why is Radhakishan Damani betting on India Cements ...

That’s the catalyst for the stock.” Possible suitors include LafargeHolcim because of less capacity in the south and perhaps Shree Cement as well. “The last few transactions took place between $100-125 enterprise value per tonne,” reminds Shah. It could well be a long process but Damani is known to be extremely patient with his ...

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cement: UltraTech to buy JP’s Gujarat Cement plants for Rs ...

2013-09-12  Jaypee Group has been trying to sell the plants at $150 per tonne for two years now. Finally, they get to deleverage the group’s balance sheet,” said Rajesh Kumar Ravi, cement analyst at Karvy. UltraTech’s shares gained 1.6 per cent before the announcement. Jaiprakash jumped 6.1 per cent. The announcement came after market hours though ...

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Emami Cement-Nuvoco Vistas deal gets CCI nod

2020-05-21  In February, Nuvoco Vistas -- formerly Lafarge India Limited -- announced that it would acquire the 8.3 million tonne per annum cement business of Emami for an enterprise value Rs 5,500 crore.

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Cement valuations firm on rising demand

Market valuations of cement companies in India are on the higher side, based on the enterprise value (EV) per tonne. The top four Indian cement companies are valued at US$150 and above, analysts say. "Companies like Holcim, Lafarge and HeidelbergCement, the top three players in the world with an EV/tonne around US$200, eye markets with 5-6 per cent growth rate. Cement sector in India already ...

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This Little Known Cement Company Has The Highest ...

This little known cement company has the highest profitability per tonne in the industry. The company is trading at a FY20 Enterprise Value/EBITDA multiple of nearly 7 times and offers an ...

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Sagar Cements in talks to buy Jaypee Group's Andhra ...

2016-01-19  If the deal transpires at Rs 1,100 crore, it will translate into an enterprise value of $64 per tonne of cement capacity. This is lower than the average valuations of over $100 per tonne in case of the recent deals in the sector. This also means the company will be valued between Rs 300 crore and Rs 350 crore excluding the debt, which is at a premium to its Monday’s market capitalisation of ...

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Nirma value-addition strategy in cement - Telegraph India

Value-added products and cost cuts across its plants are expected to benefit the company's topline. FMCG firm Nirma had bought a 100 per cent stake in Lafarge India from LafargeHolcim in 2016, including both the cement and concrete businesses, for an enterprise value of Rs 9,000 crore. The company was renamed Nuvoco Vistas and is undergoing both cost reduction and brand transition

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The surge in cement stocks is likely to continue

For instance, JK Lakshmi Cement, a mid-cap company, was trading at an enterprise value (EV) per tonne of $75 for 2014-15, 50% less than the replacement cost of setting up a plant, which is $140 ...

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UltraTech Cement’s pricey valuation is at risk due to its ...

2019-10-22  At a one-year forward EV/Ebitda of 13 times, UltraTech Cement is the second-most expensive Indian cement stock. EV stands for enterprise value

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UltraTech Cement divests entire equity in Chinese cement ...

2020-07-07  It has a 2 million tonne per annum clinker and a 0.3 million tonne per annum cement capacity in the Shandong province. The joint venture became part of UltraTech's portfolio after it

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Ind-Ra puts Nuvoco rating on watch post Emami Cement's ...

The enterprise value of the acquisition, announced on February 6, is Rs 5,500 crore, which includes an equity value of Rs 2,300 crore and debt of Rs 3,200 crore on Emami Cement's balance sheet. "NVCL is likely to finance the equity value through fresh equity/quasi equity infusion, the source of which will be finalised over the next few days," India Rating said in a note.

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BBMG deal firms up China’s sloppy cement industry ...

2016-06-30  BBMG deal firms up China’s sloppy cement industry; Concrete steps . 30 June 2016 By Quentin Webb. Email ... Citi analysts say the investment in Jidong Development implies an enterprise value of 308 yuan per tonne of cement at Jidong, in line with other recent deals. The combined group should benefit from healthy 60 percent-plus market share in and around Beijing. Still, the structure is ...

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World’s first zero-emission cement plant takes shape in ...

The cement industry is the world’s second largest industrial emitter of CO2 after steel, accounting for more than 6% of global emissions, according to CDP, a non-profit group based in the UK. If ...

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