Adani Group aims to capture 20 per cent of the Indian cement market by financial year 2028 (Image: Bloomberg)
Adani Group, the multinational conglomerate led by the billionaire Gautama Adaniis in talks to buy the Indian cement operations of Germany’s Heidelberg Materials, according to The Economic Times. The estimated value of the deal is $1.2 billion.
This potential acquisition is part of the Adani Group’s continued expansion in the cement sector. The company entered the industry in 2022 by acquiring Holcim’s stake in Ambuja Cement.
Click here to connect with us on WhatsApp
In a bid to compete with top cement producer Aditya Birla Group’s UltraTech Cement, Adani Group has made a series of acquisitions in the sector, including Ambuja Cements, Sanghi Industries and Hyderabad-based Penna Cement Industries.
In June, reports indicated that Adani was also in talks to acquire Gujarat’s Saurashtra Cement, the cement business of Jaiprakash Associates and ABG Shipyard-owned Vadraj Cement.
Adani plans to capture 20 per cent of cement market by FY28
The group aims to capture 20 per cent of the Indian cement market by fiscal 2028. Neither Adani Group nor Heidelberg Materials have commented on the report yet.
Through the acquisition of Ambuja Cement in September 2022, Adani Group became India’s second largest cement producer. This landmark deal, valued at $6.5 billion, was reportedly the largest in India’s infrastructure and materials sector.
Germany-based Heidelberg entered India in 2006 and currently operates four plants with a total capacity of 12.6 million tonnes per annum. The company sells cement under two brands, Mycem and Zuari. Heidelberg Cement India’s profit fell for the first time in five quarters in the three months to June, due to lower sales volume and price cuts.
(With contributions from Reuters)
First published: October 7, 2024 | 09:58 IS
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.