Log in
updated 6:54 AM SAST, Mar 14, 2031
  • facebook
  • twitter
  • linkedin
  • google plus
  • youtube


Super User

Super User

Twiga cement profit up despite depreciation

Tanzania Portland Cement Company (TPCC) profit has gone up by 3% to 56.2bn/- despite depreciation of the shilling that had impacted fuel, spares and quarry services.

TPPC, trading as Twiga Cement, said the profit in 2015 was realised due to stable cement demand in the country that should grow at about 7%.
According to the statement, profitability was also attributed to Twiga’s capacity increase last year, pushing up sales volume by 22%.

Cement demand in Tanzania and in the East Africa bloc has been growing steadily over the last years, prompting Twiga Cement to invest in expansion. The impact of shilling depreciation that fell by 23%, was offset through efficient variable cost management and fixed cost reduction.

Twiga announced a dividend of 306/- a share, which represents an increase of 14.6% compared to 267/- per stock of 2014. The proposed dividend includes two interim of 95/- and 111/- per share paid last October and this February respectively.

Despite increasing dividend amount the firm stock since January trades under bearish mode. The share price dropped 14.9% to 2,700/- to yesterday. Last year the company targeted to produce 1.5 million tonnes up from 1.4 million tonnes produced in 2014.
The increased capacity follows last year’s commissioning of a new 700,000 tonne- production line.

  • Published in News

Emaar plans Dubai tower “a notch taller” than Burj Khalifa

Dubai's Emaar Properties, the Gulf's largest developer, has announced plans to build a $1bn structure that will be higher than the Burj Khalifa, currently the world’s tallest building.

“The Tower” will be located in heart of Emaar Properties’ Dubai Creek Harbour development, about 10 minutes from Dubai Airport.

The skyscraper will not contain any residential space but will have an observation deck, a boutique hotel and a recreation of the Hanging Gardens of Babylon.
Its relatively low price – $500m less than the Burj Khalifa – reflects the fact that it will have less usable floor area than its predecessor.

Mohamed Alabbar, chairman of Emaar said: “The height will probably be announced when we open the tower but it will be a notch taller than the [828-m] Burj Khalifa.”

The Tower was designed by Spanish architect Santiago Calatrava.

He said: “The Tower, with 18 usable floors, draws design inspiration from the lily and evokes the image of a minaret, which is a distinctive aspect of Islamic culture.”

The project is due to be finished in time for the Dubai 2020 Expo.

It is likely that The Tower will never hold the highest building record, as Saudi Arabia is due to complete its $1.2bn, 1km-high Jeddah Tower in 2019.

  • Published in News

Hotel building to soar 40% in Sub-Saharan Africa

About 64,000 hotel rooms are to be built in Africa in 2016, an increase of almost 30% on the previous year, according to a report from W Hospitality Group.

The increase is driven by growing activity in sub-Saharan Africa, where the development pipeline for 2016 is 42% greater than the previous year, despite the economic constraints imposed by lower global prices for oil, gas and other commodities.

The figures for this region have once again outstripped North Africa, where development is expected to rise by 7.5% this year.

Trevor Ward, W Hospitality Group’s managing director, said: “Investors remain confident about the future of the hospitality industry on the continent. Even when pummelled daily by low commodity prices, exchange rate problems, political challenges and poor infrastructure, Africa remains resilient.”

Over the past five years, hotel building in the north has remained static, with about 75 hotels being built each year. In the south, however, hotel building has increased every year, growing from 76 in 2011 to 191 in 2015.

The 2015 report comments that this is partly the result of “catch-up”, as hotel chains in the past have not shown a great appetite for African investment.

This is beginning to change: Mauritania now has its first three branded hotels under construction, and the Hilton chain opened its first property in Chad in January 2015, and will make its debut in Botswana later this year.

Hilton Worldwide operates 38 hotels in Africa, and has 38 more are in the pipeline. The company plans to expand its presence in all of the major cities in sub-Saharan Africa.

By far the largest market in sub-Saharan Africa is West Africa, which accounted for 53% of the market in 2015. East Africa made up 24% of the market. This reflects growth in the Nigerian economy, which is dominating African hospitality – a role that it has taken over from Egypt.

Angola has shown the greatest growth in 2016. In July last year, AccorHotels signed a deal to build 50 hotels with around 6,200 rooms, all of which are under construction.

And in September, a UK-registered investment company called GoldenPeaks Capital Holdings signed a contract to build two and three-star hotels in all 18 provinces of Angola over the next three years at a cost of about $1.2bn.

  • Published in News
Subscribe to this RSS feed
DMC Firewall is developed by Dean Marshall Consultancy Ltd