Billionaire Gautam Adani-led Adani Group on Tuesday, October 22, said it has acquired CK Birla group firm Orient Cement at a value of Rs 8,100 crore as part of its expansion drive. Ambuja Cements, the cement and building material company of Adani Cement and part of the diversified Adani Group, has signed a binding agreement for the acquisition of Orient Cement Ltd (OCL) at an equity value of Rs. 8,100 crore.
According to a joint statement, its step-down unit "Ambuja will acquire 46.8 per cent shares of OCL from its current promoters and certain public shareholders."
"This timed acquisition marks another significant step forward in Ambuja Cements' accelerated growth journey, increasing cement capacity by -30 MTPA within two years of Ambuja's acquisition," said Director of Ambuja Cements Karan Adani.
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Adani Group said, "By acquiring OCL, Ambuja is poised to reach 100 MTPA cement capacity in FY 25. The acquisition will help to expand Adani Cement's presence in core markets and improve its pan-India market share by 2%. OCL's assets are highly efficient, equipped with railway sidings and well supported by captive power plants, renewable energy, WHRS and AFR facilities. OCL's strategic locations, high-quality limestone reserves and requisite statutory approvals present an opportunity to increase cement capacity in the near term to 16.6 MTPΑ."