Bestway Cement

Bestway Cement

Native name	بیسٹ وے سیمنٹ
Company type	Public
Traded as	PSX: BWCL KSE 100 component
Industry	Cement
Founded	1993; 32 years ago (1993)
Headquarters	Islamabad, Pakistan
Key people	Zameer Choudrey, Baron Choudrey (CEO)
Revenue	Rs. 103.922 billion (US$360 million) (2024)
Operating income	Rs. 28.223 billion (US$98 million) (2024)
Net income	Rs. 13.768 billion (US$48 million) (2024)
Total assets	Rs. 167.909 billion (US$580 million) (2024)
Total equity	Rs. 63.059 billion (US$220 million) (2024)
Owner	Bestway International Holdings Limited, Guernsey (56.43%) Rizwan Pervez (6.79%) Dawood Pervez (6.30%) Bestway Foundation (3.91%)
Number of employees	1,979 (2024)
Parent	Bestway Group
Website	bestway.com.pk
Footnotes / references Financials as of 30 June 2024^[update] [1]

Bestway Cement Limited is a Pakistani cement manufacturer based in Islamabad. It is a subsidiary of British conglomerate Bestway Group.^[2]

It was founded in 1993 and is listed on the Pakistan Stock Exchange.^[2][3]

History

1995–2005: Initial years

Bestway Cement was incorporated by Bestway Group of the United Kingdom in December 1993.^[4][5][6] The company built its first cement plant in Hattar, in the Khyber Pakhtoonkhwa in 1995 with an initial investment of US$120 million.^[7] Civil works started in January 1996 and the Kiln was fired in April 1998.

In 2001, Bestway was listed on the Karachi Stock Exchange.^[4] A year later, the plant's capacity was further enhanced to 1.3 million TPA at a cost of US$20 million.

In February 2004, Bestway set up its second plant with a 1.8 million TPA capacity in Chakwal, Punjab with a total investment of US$140 million. Civil works for Bestway Chakwal-I were initiated in January 2005, the kiln was fired in May 2006 and the plant went into production in June 2006. The local people claim that Bestway Group did not fairly compensate the previous owners of the land. A case was brought against Bestway Group and is pending in the Supreme Court of Pakistan.^[8][9]

2005–present: Acquisitions and growth

In September 2005, Bestway bid for 85.29% of the equity of Mustehkam Cement Limited under the Privatization Scheme and acquired the company for $70.0 million.^[10] The deal was spearheaded by Choudrey and became its third cement plant. In the post acquisition period the Group has invested in excess of US$50 million.^[11]

In June 2008, Bestway's fourth cement plant with a 1.8 million TPA capacity went into commercial production adjacent to the existing site in Chakwal at a cost of US$180 million.^[12]

In 2010, the production capacity of the former Mustehkam Cement Limited plant was further enhanced to 1.1 million tonnes per annum at a total cost of US$70.0 million which was ultimately merged with Bestway Cement in 2013.^[10]

In July 2014, Bestway acquired Lafarge's 75.86 percent stake in Lafarge Pakistan Cement Ltd for an enterprise value of US$329 million (€244 million).^[13][14] Lafarge Pakistan Cement Ltd operated a cement plant in the north of Pakistan which was established as Chakwal Cement, but was later acquired by Orascom in 2005, an Egyptian conglomerate, which renamed it as Pakistan Cement Limited.^[15][16] Pakistan Cement Limited became part of Lafarge in 2008 when it acquired Orascom's cement operations worldwide.^[15][17] Bestway also acquired another 12.07% shares through a public offer, taking its shareholding in Lafarge Pakistan to 87.93%.^[18]

In April 2015, Bestway invested US$30 million to build WHRP plant at Pakcem.^[19] In July 2015, the company inaugurated two WHRP Plants (6 MW and 7.5 MW) at its Hattar and Farooqia plants in KPK Province of Pakistan.^[20]

In March 2017, Bestway announced plans to set up its third cement plant in Haripur KPK Province.^[21] A year later, Bestway expanded its capacity by 1.8 million tons.^[22]

In May 2021, Bestway announced it will establish greenfield plant in Mianwali having capacity of 7,200 tons. It will include a 9MW waste heat recovery plant.^[23][24] In June 2021, Bestway commissioned its first 14.3MW captive solar power unit at its integrated cement plant at Farooqia, Khyber Pakhtunkhwa. The unit is part of a 50MW project deal that is planned to install solar units at the cement producer's plant at Farooqia, Chakwal, Kallar Kahar and Hattar in Pakistan.^[25]

References

1. "Bestway Annual Report 2024". Archived from the original on 20 August 2024. Retrieved 20 August 2024.
2. "Bestway Cement Limited – Business Recorder". Archived from the original on 2021-07-05. Retrieved 2020-01-12.
3. Hussain, Dilawar (July 6, 2015). "Bestway seeks strategic gain over competitors". DAWN.COM. Archived from the original on February 4, 2023. Retrieved February 4, 2023.
4. "Cement: BESTWAY CEMENT LIMITED - Nine Months Ended March 31 2005". Brecorder. July 26, 2005. Archived from the original on May 12, 2024. Retrieved May 12, 2024.
5. Baig, Mariam Ali (2 March 2016). "Supporting development". Aurora Magazine. Archived from the original on 29 January 2023. Retrieved 29 January 2023.
6. "Bestway: the King in the North | Business Recorder". Brecorder.com. 4 August 2015. Archived from the original on 2015-12-22. Retrieved 2015-12-14.
7. "Bestway Cement Plant is the Largest Foreign Investment by an Expatriate Pakistani". Economic Review. 29 (12): 49. December 1998.
8. Reporter, The Newspaper's Staff (August 21, 2018). "Cement unit barred from using pond water". DAWN.COM. Archived from the original on May 12, 2024. Retrieved May 12, 2024.
9. Bhatti, Haseeb (May 8, 2018). "SC wraps up Katas Raj case after cement factories agree to find alternate water source". DAWN.COM. Archived from the original on May 12, 2024. Retrieved May 12, 2024.
10. "Mustehkam Cement merges with Bestway Cement". www.thenews.com.pk. Archived from the original on 2020-07-27. Retrieved 2020-07-27.
11. "Bestway injects Rs1.25b into Mustehkam Cement". The Express Tribune. 6 April 2011.
12. "CMBC-News". Cbmc-cn.com. 2006-07-31. Archived from the original on 2016-03-04. Retrieved 2015-12-15.
13. Dhakku, Nabeel Anwar (April 24, 2015). "Bestway acquires Lafarge cement plant". DAWN.COM. Archived from the original on January 12, 2020. Retrieved January 12, 2020.
14. "Pakcem Ltd, PAKCEM:KAR summary - FT.com". Markets.ft.com. Archived from the original on 2015-08-01. Retrieved 2015-12-15.
15. "Cement: PAKISTAN CEMENT COMPANY LIMITED - Analysis of Financial Statements Financial Year 2004 - H 2001 2008". Brecorder. January 31, 2009. Archived from the original on May 12, 2024. Retrieved May 12, 2024.
16. "Lafarge Pakistan sold to Bestway Cement". World Cement.
17. "Lafarge est désormais propriétaire d'Orascom Cement". Challenges. January 23, 2008. Archived from the original on October 5, 2023. Retrieved May 12, 2024.
18. "Expanding foothold: Bestway takes control of Lafarge management". The Express Tribune. 24 April 2015. Archived from the original on 5 February 2022. Retrieved 29 January 2023.
19. "Pakcem - Cement industry news from Global Cement". www.globalcement.com. Archived from the original on 31 January 2019. Retrieved 30 January 2019.
20. "Bestway Cement inaugurates two waste heat recovery plants". 27 July 2015. Archived from the original on 29 January 2023. Retrieved 29 January 2023.
21. "Pakistan: Bestway Cement awards Sinoma brownfield project". 2 March 2017. Archived from the original on 29 January 2023. Retrieved 29 January 2023.
22. "Bestway Cement starts production at new plant". The Express Tribune. June 1, 2018. Archived from the original on July 8, 2020. Retrieved July 27, 2020.
23. Ahmed, Ali (2021-05-27). "Bestway Cement announces greenfield plant in Mianwali". Brecorder. Archived from the original on 2023-09-06. Retrieved 2021-05-27.
24. "Bestway Cement to build new cement plant in Mianwali". Global Cement. 28 May 2021. Archived from the original on 25 October 2021. Retrieved 17 September 2021.
25. staff, Global Cement. "Bestway Cement commissions 14.3MW solar plant at Farooqia plant". www.globalcement.com.