Steppe Cement gains market share

6th Oct 2010 14:25

Kazakhstan-based cement manufacturer Steppe Cement says its third quarter revenues were 31% ahead of the same time last year. AIM-quoted Steppe's third quarter revenues were KZT4.05bn, while nine months revenues are KZT8.74bn - up 26% on the same period last year. Sales volumes rose even faster because the average price of the cement fell. The third quarter volumes were 48% ahead. That is much faster than the growth of the market. Steppe's market share has increased to 21.5% as imports have declined. This news follows last week's announcement that Steppe is raising £10m from an offer for subscription at 40p a share that will be underwritten by existing shareholders. The minimum subscription level is £50,000. The net proceeds of £9.67m will be used to help repay the bonds of its subsidiary Karcement JSC before the end of 2010. Karcement accounts for 48% of cement sales volumes.