MOZAMBIQUE – The International Finance Corporation (IFC), an arm of the World Bank, is lending the African subsidiary of Chinese manufacturer Keda Industrial Co. Ltd US$33.5 million to build a factory in Mozambique for making ceramic tiles, the parent company says.
In a statement sent to the Shanghai Stock Exchange on Thursday, the Chinese manufacturer reveals that the loan amounts to US$165 million, of which US$33.5 million is reserved for a ceramic tile and slab factory in Mozambique.
The rest of the funds will be used to build similar factories in Cameroon and the Democratic Republic of Congo to respond to the growing demand for ceramic materials in the African construction industry, says Keda.
The company already operates four tile factories in Kenya, Ghana, Tanzania and Senegal.
According to Republic of Mozambique, the Chinese industrial group last November registered a local subsidiary, Keda (Mozambique) Ceramics Company Ltd., dedicated to industrial activity, mining, and import and export.
Annual sales outside China of ceramics made by Keda Industrial for the construction industry grew by 31.3 percent last year to 1.06 billion yuan (about US$150 million), and the margin of gross profit on that revenue was over 30 percent, the company told the stock exchange.
Keda Industrial Co., Ltd. is engaged in the building machinery and equipment industry. Its business scope includes the manufacture of ceramic, stone, wall materials, energy saving, environmental protection, and other large-scale integration of mechanical and electrical machinery and equipment.
It also researches, develops, manufactures and sells equipment and machineries. It also provides complete solution for ceramics, building materials, natural & artificial stone processing as well as new power, clean coal gasification. Keda Industrial was founded on December 8, 1992 and is headquartered in Foshan, China.
The International Finance Corporation is an international financial institution that offers investment, advisory, and asset-management services to encourage private-sector development in less developed countries. The IFC is a member of the World Bank Group and is headquartered in Washington, D.C. in the United States.