LafargeHolcim receives go-ahead for Indian streamlining

India’s Cabinet Committee on Economic Affairs has given its blessing to LafargeHolcim’s proposals to simplify the structure of its remaining operations in the country. The company is now awaiting the formal sign-off of the Foreign Investment Promotion Board, but this is expected shortly.

Under the proposals, LafargeHolcim will increase its stake in Ambuja to 61.14 per cent, while Ambuja itself will take a 50.05 per cent stake in ACC. Thus, ACC will become a subsidiary of Ambuja, which itself will remain a subsidiary of LafargeHolcim.

The move comes as LafargeHolcim prepares to divest itself of Lafarge India, which is to be acquired by Nirma Group for a sum of around US$1.4bn.