Eternit Initiates the Project for the Installation of its Multi-Products Factory in the North-East
SAO PAULO, Oct. 20, 2011 /PRNewswire/ -- Eternit S. A. (BM&FBOVESPA: ETER3; OTC: ETNTY), a company with 71 years of activity and the market leader in roofing coverings, panels and cement slabs, in line with its plan of expansion and diversification of its activities, will begin its project to set up its 12th factory in the Industrial District of Porto de Pecem in the City of Caucaia, Ceara state.
The purpose of the first industrial unit within this project is to produce sanitary ware. This investment will be effected through a joint-venture between Eternit S. A. (Eternit) and the Colombian multinational Organizacoes Corona S. A. (Corona), one of the world's largest producers of sanitary ware with over 130 years of experience and diversified industrial facilities comprised of 17 plants in Colombia and two in the United States.
Named Companhia Sulamericana de Ceramica S. A., Eternit will participate with 60% of the shares of the joint venture while Corona's participation will be 40%.
This is a strategic alliance to jointly develop the business of producing and selling sanitary ware, in which Corona will contribute with its development and production know-how and Eternit with its knowledge of the market, logistics efficiency and a distribution channel with more than 14,000 points-of-sale.
This plant will have an initial capacity of 1,500,000 parts/year and investments foreseen are in the order of R$ 97 million, funding for which the Company will preferably employ third party resources. The term for concluding this first phase is 18 months after construction work begins, which is forecasted to occur during the first semester of 2012.
This will be the first plant to come on stream. Other investments will be made in this multiproduct unit in the medium and long term.
Contacts
Eternit S.A. – Relacoes com Investidores
Rodrigo Lopes da Luz - [email protected]
Frederico Gomes Amaral – [email protected]
Phone: (55-11) 3813-6034 - (55-11) 3038-3818
Website: www.eternit.com.br/ir
SOURCE Eternit S.A.
Share this article