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Austrian Lasselsberger To Build $108 million Czech Plant

Austrian Lasselsberger To Build $108 million Czech Plant
PRAGUE - Austrian ceramics and building materials group Lasselsberger GmbH will build a 2.5 billion crown ($108 million) cement factory in the Czech Republic, the company's Czech unit said on Friday.

The firm said it had won a building permit for the factory, following several years of disputes with an environmental group, and the permit has now entered into force.

"The investor plans to build the roughly 2.5 billion crown cement mill, which would create 130 jobs in a region suffering from high unemployment, in the first half next year," the company said. The factory will be built in the eastern town of Stramberk.

A spokesman told Reuters the construction would be financed by the parent Austrian group. He said talks with equipment suppliers and building contractors were pending and had no details on the form of financing.

Large foreign direct investments into the central European country have been the driver of exports and economic growth, and have also supported the crown currency.

The crown firmed to two-year highs against the euro on Friday, extending a strong run backed by improving trade balance and expectations of investment inflows related to privatisation projects over the next two years.

The currency stood at 30.80 to the euro at 1335 GMT.

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