Holderbank acquired Hyundai Cement Bangladesh Corp., the leader in the Bangladesh cement market, from Hyundai Engineering & Construction Ltd. for US$42 million.

Based northeast of Dhaka, Hyundai Cement has been operating a cement grinding station including packing and distribution facilities since 1996. The plant runs two cement mills and has an installed capacity of 400,000 tons. The plant's clinker will be supplied from Holderbank group companies in the Asia-Pacific area.

Cement consumption in Bangladesh has been growing continually over the last few years. In 1999, cement demand reached approximately 4.1 million tons and is estimated to improve to 4.5 million tons this year. In order to meet growing demand for cement, construction will begin this year on a new cement mill with an annual capacity of 200,000 tons. It will be operational in spring 2001.