Cairo, Egypt, July 6, 2009
—IFC, a member of the World Bank Group, announced that it will make an equity investment of up to $24 million in cement maker ASEC Algeria to support the construction of a cement plant that will create more than 1,000 jobs and help meet Algeria’s growing demand for high-quality building material.
The cement plant will be built in Djelfa, one of Algeria’s least developed regions, where it will support local small and medium enterprises in the transport, maintenance, and general services sectors. The project is expected to create 600 direct and 800 indirect jobs.
Chairman and Chief Executive Officer of ASEC Algeria, Giorgio Bodo, said, “The construction of this cement plant in Djelfa marks our first agreement with IFC and we look forward to deepening our partnership with them on future projects. Our investment in Djelfa also confirms our commitment to Algeria, a country we consider crucial in our strategy.”
IFC Director for the Middle East and North Africa, Michael Essex, said, “This investment in ASEC Algeria fits with our strategy to increase cross-border investments in the region and assist Algeria diversify its economy. This investment will also help develop the cement sector in the country, and we hope it will have an important demonstrative effect that will encourage other investments in Algeria.”
Algeria’s government is targeting infrastructure and housing development to diversify the economy and improve services. The future Djelfa plant will help meet current and future demand for cement created by projects in these sectors.
The plant is expected to have an annual production capacity of 3.1 million tons. The total cost of the project is expected to be about $550 million.
ASEC Cement, the owner of ASEC Algeria, invests in emerging cement markets in the Middle East and North Africa and was created by Citadel Capital, a long term partner of IFC.
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 $16.2 billion in fiscal 2008, a 34 percent increase over the previous year. For more information, visit
About ASEC Cement
is a Platform Company for investments in emerging cement markets in the Middle East and North Africa. Created by Citadel Capital and a group of leading co-investors, ASEC Cement is growing into a leading regional cement production group that will have a combined production capacity of approximately 11 million tons per annum in 2013 spanning six countries from Algeria to Iraq-(Kurdistan).
About Citadel Capital