Poursuivant sa politique de cession d’activités représentant un chiffre d’affaires global d’au moins 3 Mds € avant fin 2019, le géant des matériaux a annoncé être entré « en négociations exclusives » avec le fonds d’investissement américain OpenGate Capital.

Leader mondial des grains et poudres de carbure de silicium – élément qui entre dans la composition d’abrasifs, d’isolants électriques ou encore de miroirs pour l’industrie aérospatiale – Saint-Gobain génère dans cette activité un chiffre d’affaires annuel d’environ 120 M€.

Et pourtant, le leader mondial des matériaux de construction a décidé, dans le cadre de son objectif de « rotation de son portefeuille » (3 Mds € de cessions d’ici fin 2019) d’accorder une exclusivité au fonds américain OpenGate Capital après avoir reçu de ce dernier une offre d’achat de sa branche Saint-Gobain Silicon Carbide.

Ferme et irrévocable « Cette offre ferme et irrévocable ne comporte pas de condition de financement », a précisé Saint-Gobain dans un communiqué, précisant que la transaction envisagée, dont le montant n’a pas été dévoilé, ne pourra être finalisée « qu’après les procédures usuelles d’information et de consultation des instances représentatives du personnel compétentes ».

Soumise à l’approbation des autorités de la concurrence, cette transaction devrait être effective au premier semestre 2019.

Strict environmental regulation on magnesite and magnesia production in China has resulted in strong demand for imported products. Cameron Perks, Fastmarkets IM correspondent, looks at how Sibelco’s Australian operations are currently benefiting from this.

The refractory maker reports higher end-user demand outweighing raw material volatility.

Refractory maker RHI Magnesita reported a sharp rise in revenues, thanks to increased sales volumes and prices, even as its raw material costs rose.

RHI Magnesita reported a pre-tax profit of €246 million in 2018, compared with a €5.9 million loss in 2017, with rising revenues more than outpaced increased raw material costs.

The company forecast a more stable market for refractory raw materials in 2019, but prices are expected to stay high compared with pre-2017 levels.

Chinese refractory material production has been restricted by a number of factors in China, including environmental restrictions on dynamite use and other mining activities.

«As a result of potential further export taxes, more restrictive allocation of explosives, strict environment enforcement and the nationalization or controlled consolidation of mining operations in China, the structurally altered raw materials pricing environment is expected to remain in 2019 and beyond,» RHI Magnesita said.

Refractory material prices have seen extreme volatility since the implementation of Chinese environmental restrictions.

Fastmarkets IM reported the price of magnesia, dead-burned,94-95% MgO, lump, fob China, at $500-580 a tonne on March 26, 2019. This was down from $680-700 a year earlier, but well above the $160-235 per tonne reported at the same point in 2017.

Meanwhile end use markets are expected to remain strong.

«Whilst some uncertainties exist in the macroeconomic outlook for 2019, robust customer markets in the medium term (albeit with some uncertainty in the short term) and positive trends in raw material pricing support our expectation to deliver modest organic revenue growth,» RHI Magnasita chief executive Stefan Borgas said.

The segment of the company’s business which supplies to the steel industry reported revenues up by 15% year on year in 2018, at €2.20 billion ($2.47 billion).

And the company’s industrial division reported sales of €877 million over the same period, up by 33% year on year.
RHI Magnesita also announced it is seeking a secondary listing on the Vienna Stock Exchange, in addition to its existing listing in London, as a protection against Brexit uncertainty.

A round-up of the year’s main events in the global bauxite and alumina markets.

The past 12 months were eventful for the global bauxite and alumina industries, characterised by supply shortages and en-market diversification.

Mar. 28, 2019 – As weather is getting warmer in Xinjiang province, two main producers Xinrong Yilong Andalusite Co., Ltd. and Xinjiang Baoan New Energy Mineral Co. Ltd there have started production in the middle of Mar. Due to environmental inspection and increased cost, producers attempted to raise price with RMB 100-200/t lately.

However, with the advert of government policy to lower 3% value-added tax for manufacturing industry since Apr. 1, together with shock from imported andalusite, the price is kept stable now.

Another producer in Meixian, Shannxi province newly adds product portfolio with 180 mesh and 200 mesh powder in addition to previous 0-0.5mm grain.

It is noteworthy that Xinrong Yilong Andalusite Co., Ltd. this year again starts offering andalusite 58% for buyers.

On price, purchasers requests price decline for lowered value-added tax. While suppliers deem cost increase can offset influence of tax policy. Thus, possibility of price rise is minor and market is likely to keep stable.

At time being, ex-works price including tax of andalusite 55% (Size: 0-0.5mm) in Shannxi province is RMB 2,750-2,850/t. Prices of andalusite 56%, 57% and 58% (Size: 0-1mm、1-3mm) in Xinjiang province are respectively RMB 3,400-3,450/t, RMB 3,700-3,750/t and RMB 3,900-3,950/t.