GCC Activates Ps. 700 Million Share Repurchase Program

CHIHUAHUA, Mexico, Nov. 20, 2018 (GLOBE NEWSWIRE) -- Grupo Cementos de Chihuahua, S.A.B. de C.V., or GCC, (BMV: GCC*) announces that it activated its share repurchase program and expects to make additional share purchases and sales, in accordance with market conditions. 

The Annual Shareholders Meeting held on April 26, 2018 authorized up to Ps. 700 million to be used for share repurchases. Authority to execute share repurchase transactions was delegated to the Company’s management. 

As of today, GCC holds approximately 4.8 million repurchased shares in Treasury.

Luis Carlos Arias, GCC’s Chief Financial Officer, said, “Activation of the share repurchase program reflects management’s confidence in the execution of our business plan and the positive outlook for cement and ready-mix demand and prices, particularly in the U.S. Management also believes that the repurchase program could help to continue increasing the liquidity of GCC’s shares and reduce price volatility.”

In the first nine months of 2018, 74% of GCC’s sales were generated in the United States.

Any share repurchases will take place in accordance with applicable regulations. Repurchased shares will not be cancelled. Any decisions to purchase additional shares or to sell back into the market shares already repurchased will depend on management’s evaluation from time to time of market conditions and the Company’s cash flow requirements. GCC makes no commitment to repurchase additional shares.

About GCC

GCC is a leading supplier of cement, concrete, aggregates, and construction‐related services in the United States and Mexico, with an annual cement production capacity of 5.8 million metric tons. Founded in 1941, the Company’s shares are listed on the Mexican Stock Exchange under the ticker symbol GCC.

Forward Looking Statements

This press release may contain forward-looking statements. All statements that are not clearly historical in nature are forward-looking, and the words “anticipate,” “believe,” “expect,” “estimate,” “intend,” “project” and similar expressions are generally intended to identify forward-looking statements. These statements are subject to risks and uncertainties including, among others, changes in macroeconomic, political, governmental or business conditions in the markets where GCC operates; changes in interest rates, inflation rates and currency exchange rates; performance of the construction industry; pricing, business strategy, and other factors. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may differ materially from the beliefs, projections, and estimates described herein. GCC assumes no obligation to update the information contained in this press release.

For further information, contact: