The Zhitong Finance App learned that Huaxin Construction (06655) rose more than 3%. As of press release, it had risen 2.86% to HK$17.96, with a turnover of HK$17.514,400.
According to the news, recently, Huaxin Construction Materials announced that the company plans to acquire shares in Brazil's National Steel and Cement Company for about US$1,642 billion. At present, China's construction materials business covers 14 overseas countries. Overseas clinker production capacity has reached 27.5 million tons/year, and cement grinding production capacity has reached 36.8 million tons/year. In 2026, with the domestic cement business facing severe tests, overseas business became an important contributor to the company's performance. According to the announcement, this project is one of the company's key initiatives to actively promote overseas multi-business development strategies and lay out emerging potential markets; it is also a milestone event for the company to develop the South American building materials market.
Damo pointed out that Huaxin Materials announced the acquisition of 99.99% of the shares of Brazil's National Steel and Cement Company, and it is expected that the acquisition will bring an annual production capacity of 17 million tons of cement; the bank's transaction aims to establish an overseas business platform, and it is expected that the company's capacity utilization, production efficiency, and cost control will all have potential room for improvement. According to the bank, the company value of the transaction agreement is BRL 12.7 billion (about US$2.309 billion), and the equity is estimated to be about BRL 9.034 billion (approximately US$1,642 billion).