Cementos Pacasmayo SAA, Peru’s third- largest cement producer, said it plans to sell as much as USD250 million in American depositary receipts, the Andean country’s first listing abroad since 2007.
Pacasmayo, controlled by Peru’s Hochschild Group, said it plans to use proceeds from the sale to expand its La Rioja cement plant, build a second plant in the northern coastal city of Piura and develop its USD700 million phosphate and brine project. The company raised USD46 million last week from the sale of a 30 per cent stake in its phosphate unit to Mitsubishi Corp.
Pacasmayo will become the fifth Peruvian company to trade in New York, joining miners Southern Copper Corp. and Cia. de Minas Buenaventura SAA and financial holdings Credicorp Ltd. and Intergroup Financial Services Corp. Telefonica del Peru SAA took its ADRs off the market in 2004.
Pacasmayo’s cement sales rose 16 per cent to 1.8 million metric tonnes in 2010, equivalent to a 21 per cent share of Peru’s cement market, according to the company’s website.
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