<article>China&#8217;s building materials supplier BBMG Corp plans to sell stakes in 31 cement-related units valued at 15.5 billion yuan ($2.3 billion) to Jidong Cement as part of Beijing&#8217;s plans to consolidate the sector.</article>

China&#8217;s building materials supplier BBMG Corp plans to sell stakes in 31 cement-related units valued at 15.5 billion yuan ($2.3 billion) to Jidong Cement as part of Beijing&#8217;s plans to consolidate the sector.
As part of the overall company restructuring, Tangshan Jidong Cement Co Ltd will eventually become a unit of BBMG as the government tries to get rid of smaller and inefficient players in various sectors, such as cement, glass and steel.
In May, China&#8217;s cabinet said it would put 60 percent of its cement and glass capacity in the hands of the biggest 10 firms by 2020 to reduce a supply glut through mergers and acquisitions.
&#8220;The asset restructuring is conducive to resolving excess regional production capacity,&#8221;BBMG, China&#8217;s second largest cement producer by market value, said in a filing to the Hong Kong stock exchange on Wednesday.
In a separate statement, Jidong Cement said it aimed to raise up to 3 billion yuan in a private placement of shares to help fund the stake acquisitions.
<h4>Reuters</h4>

China's building materials supplier BBMG Corp plans to sell stakes in 31 cement-related units valued at $2.3 billion to Jidong Cement 

China's BBMG to sell stake in units to Jidong Cement in $2.3b deal

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China's BBMG to sell stake in units to Jidong Cement in $2.3b deal

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