Adani-Group’s Ambuja Cement completes the acquisition of Sanghi-Industries: Deal made for Rs. 5,185 crore, Ambuja’s shares rose 7% on this news.
Adani Group company Ambuja Cement has completed the acquisition of Sanghi Industries. Ambuja Cement has bought Sanghi Industries for Rs 5,185 crore. Adani Group has given this information in its exchange filing. After this news, Ambuja Cement shares rose by about 7% today. The company’s shares closed at Rs 507.50 with a rise of 6.94%.
Ambuja Cements’ controlling stake in Sanghi Industries becomes 54.51%
Ambuja Cement has financed this acquisition from its own funding. After this acquisition, Ambuja Cements has a controlling stake of 54.51% in Sanghi Industries. Also, after this acquisition, the consolidated capacity of Ambuja Cements has increased from 68.5 MTPA to 74.6 MTPA. The acquisition will accelerate Ambuja Cement’s journey to achieve 140 MTPA capacity before 2028.
Revised open offer to buy 2.23% additional stake
According to an exchange filing, Ambuja Cements has revised the open offer to buy additional 2.23% stake in Sanghi Industries to Rs 121.90 per share from Rs 114.22 per share earlier. On August 3, Ambuja Cements had announced the acquisition of 56.74% stake in Sanghi Industries.
Sanghi Cement, a brand owned by Sanghi Industries, was launched in 1985. It has a grinding capacity of 6.1 million metric tonnes per annum and a clinker capacity of 6.6 million metric tonnes per annum. The company has installed a 3.2 km closed belt conveyor to transport limestone from the mines to the clinker plant.
The company also has a 130 MW captive thermal power plant, captive mines, water de-salinization facility and a captive port in Kutch, Gujarat that handles 1 MTPA cargo. Sanghi Cement sells ordinary portland cement, portland pozzolana cement and portland slag cement in Gujarat, Rajasthan, Maharashtra and Kerala and its ports export cement to countries in the Middle East, Africa and the Indian subcontinent.
Adani Group had acquired Ambuja Cements last year.
Adani Group had last year acquired Ambuja Cements Ltd and ACC Ltd from Holcim Group for $6.5 billion, becoming the country’s second largest cement maker with a capacity of 65.7 million tonnes per annum. The group plans to double its cement capacity to 140 million tonnes in the next 5 years.
