Chittagong Cement Factory one of the pioneer cement industries in the country was established in 1966 and was placed under control and management of Bangladesh Mineral Oil and Gas Corporation and subsequently of BMEDC. The factory was converted into and incorporated as a private limited company on 30 June 1979. Thereafter the company converted into a public limited company in February 1989 with the shareholding of 51% by Bangladesh Chemical Industries Corporation (BCIC), 34% by General Public and 15% by officers, staff and workers of the company. Under the privatization policy of the Government, BCIC sold and transferred its 51% shares to Local investors on 27 June 1993.
HCBL is subsidiary of HeidelbergCement Group in Germany with a 61% stake in the entity. HeidelbergCement Group with interests in cement, ready-mixed concrete, aggregates and related activities is one of the leading producers of building materials worldwide with manufacturing bases in over 50 countries. In 1998, HeidelbergCement Group started its operations in Bangladesh by setting up a floating terminal in the port of Chittagong and distributing the cement to the key markets of Dhaka and Chittagong. Subsequently it built a greenfield manufacturing plant “Scancement International Ltd” and acquired a controlling stake in the formerly state owned Chittagong Cement Clinker Grinding Co Limited (CCCGCL). In 2003, the two companies were amalgamated and the company’s name was changed to HCBL. HCBL currently operates two plants with a total annual capacity of 2 million tons of cement, offering multiple blended cement options like Ordinary Portland Cement (OPC), Portland Composite Cement (PCC) through its two cement brands Scan and Ruby Cement.
1.1 Difference in Book Value and Market Value of HCBL
The book value shows us what the shareholders ' stake is worth in the firm or it is the accounting value of the firm, i.e. the per-share value of a stock based on the figures shown
References: 1. Annual Report of Heidelberg Cement of 2008-2009, 2008-2007, 2007-2006, 2006-2005, 2005-2004 2