Ahmedabad (Gujarat) [India], 15 April : Ambuja Cements, a subsidiary of Adani Group, has signed an agreement to acquire My Home Group's 1.5 MTPA (Million tons per annum) Cement Grinding Unit in Tuticorin, Tamil Nadu.
The release by the company states that the acquisition, valued at Rs. 413.75 Crores and funded through internal accruals. The aquisition will expand Ambuja's coastal footprint in the southern markets of Tamil Nadu and Kerala. With this acquisition, the Adani Group's total cement capacity reaches 78.9 MTPA.
The Tuticorin unit, spread over 61 acres near the Tuticorin Port, comes with a long-term fly ash supply agreement for raw material sourcing. Ambuja Cements plans to leverage the coastal location and state-of-the-art marine infrastructure and equipment to ensure efficient operations and deliver high-quality products.
"We are glad to announce this acquisition, strengthening our foothold in the region and aligning perfectly with our commitment to delivering high-quality products and services to our customers" said Ajay Kapur, CEO - Cement Business, Adani Group.
He further added, "In addition to the infrastructure and geographical advantages, Ambuja Cements will also inherit the existing dealer network and retain current employees, facilitating a smooth transition and enabling the rapid ramp-up of utilisation."
The acquisition provides Ambuja Cements access to the southern market and inherits an existing dealer network and employee base.
The company statement highlights that it intends to facilitate a smooth transition and rapid utilization ramp-up, retaining current employees and ensuring continuity in operations.
Ambuja Cements Limited, is a member of the diversified Adani. Ambuja, with its subsidiaries ACC Ltd. and Sanghi Industries Ltd has taken the Adani Group's cement capacity to 78.9 MTPA with 18 integrated cement manufacturing plants and 19 cement grinding units across the country.
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