UltraTech's acquisition of Century Cement to be completed soon

India’s UltraTech Cement has confirmed that it will complete the merger of Century Cement in the second quarter of the FY19-20. The only pending approval which remains for the deal is the transfer of mining leases, which is expected to be completed soon, according to Kumar Mangalam Birla, chairman of the company.

"After the completion of the Century Cement transaction, coupled with the on-going capacity expansion, our capacity will be augmented to over 117.35Mta, inclusive of its overseas operations," said Mr Birla.

Once the transfer of the mining leases is completed, the company’s financials are expected to be recast with the necessary changes. Century's cement business consists of three integrated units in Madhya Pradesh, Chhattisgarh and Maharashtra, alongside a grinding unit in Bengal.

"This transaction gives us an opportunity to strengthen our presence in the highly-fragmented, but competitive and fast-growing eastern and central markets. It will also extend our footprint in the western and southern markets," said the chairman.