PPC Ltd., South Africa’s largest cement maker, is planning to sell three-year bonds later this month, according to two people with knowledge of the transaction.
The auction of 650 million rand ($70.65 million) worth of securities is scheduled for March 28, said the people, who asked not to be identified as details of the sale haven’t been made public. The issue is part of a medium-term note issue program “which will be utilized towards the company’s funding requirements,” the Johannesburg-based company said in a statement last month.
The cement maker, which is facing increased competition in South Africa, is expanding outside its domestic market and is looking for acquisitions. The company plans to announce two deals this year, its Chief Executive Officer Ketso Gordhan said in an interview in January.
PPC declined as much as 2.8 percent to 32.55 rand, the lowest in almost a month, and was 1.8 percent lower by 2.47 p.m. in Johannesburg. The stock has fallen 3.7 percent this year, compared with a 3 percent gain for the FTSE/JSE Africa All Share Index, according to data compiled by Bloomberg.
Azola Lowan, an investor relations manager at PPC, didn’t immediately answer a call to her office in Johannesburg or reply to an e-mail.