Adani Group has agreed to purchase Holcim India for CHF6.4bn (US$6.37bn). The deal includes Holcim’s 63.11 per cent stake in Ambuja Cement, which owns a 50.05 per cent interest in ACC, as well as its 4.48 per cent direct stake in ACC. The combined footprint of Ambuja Cement and ACC includes 31 cement production sites with a total cement production capacity of 66Mta and 78 ready-mixed concrete plants across India. The transaction is expected to complete in the second half of 2022.
“With Holcim’s global leadership in sustainability, we are acquiring some of the most efficient building materials operations in India, powered with clean technologies like heat recovery systems. We recognise that Ambuja and ACC operations are energy intensive and therefore when combined with our renewable power generation capabilities we gain a big head start in the decarbonisation journey that is a must for the Indian industry,” said Gautam Adani, chairman of the Adani Group.
Following the transaction, Holcim plans to focus on expanding its Solutions & Products business, building on recent investments of CHF5bn. “With the Adani Group we have found a perfect owner to unleash our Indian business’ next era of growth for our people and all stakeholders in a swift and efficient transaction,” said Jan Jenisch, CEO, Holcim. “In the last 12 months we have invested CHF5bn in Solutions & Products as a new growth engine for the company, while continuously pursuing bolt-ons in aggregates and ready-mix concrete. Holcim is ready to seize further opportunities, in line with our ‘Strategy 2025 – Accelerating Green Growth’ to become the global leader in innovative and sustainable building solutions.”
