Adani Group To Acquire Holcim’s India For Swiss Franc 6.4 Billion
Holcim has signed a binding agreement for the Adani Group to acquire its business in India, comprising its 63.11 percent stake in Ambuja Cement, which owns a 50.05 percent interest in ACC (The Associated Cement Companies), as well as its 4.48 percent direct stake in ACC. The corresponding offer share prices of INR 385 for Ambuja Cement and INR 2,300 for ACC translate into cash proceeds of CHF 6.4 billion for Holcim.
ACC Limited formerly The Associated Cement Companies Limited is an Indian cement producer, headquartered in Mumbai. It is a subsidiary of the Ambuja Cements and a part of the Holcim Group. On 1 September 2006, the name of The Associated Cement Companies Limited was changed to ACC Limited. The company was established in Mumbai, Maharashtra on 1 August 1936.
Adani Group with a portfolio of world-class businesses ranging from infrastructure to energy. Since entering India in 2005, Holcim has established a track record of sustainable value creation with strategic investments ranging from new best-in-class plants to green technologies such as heat recovery systems.
Gautam Adani, Chairman, Adani Group said, "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 decarbonization journey that is a must for Indian industry."
Jan Jenisch, CEO, Holcim said, “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. I am proud of Holcim’s track record in the Indian market, where we significantly increased our capacity over the years, while advancing our leadership in sustainability. I would like to thank our 10,700 Indian colleagues who have played an essential role in the development of our business over the years with their relentless dedication and expertise. I am convinced that the Adani Group is the right home for them as well as for our customers to continue to thrive in the future.”
The Indian and the global construction sector has never been as attractive as it is today, with many opportunities to build better and more with less, to improve living standards for all in a sustainable manner. In the last twelve months Holcim has invested CHF 5 billion in Solutions and Products as a new growth engine for the company, while has continuously pursued bolt-ons in aggregates and ready-mix concrete.
It is ready to seize further opportunities, in line with its ‘Strategy 2025 - Accelerating Green Growth’, to become the global leader in innovative and sustainable building solutions.
Ambuja Cement and ACC are among the most iconic building material brands in India, with a track record of leadership in sustainability and innovation. Their combined footprint includes 31 cement manufacturing sites and 78 ready-mix concrete plants with 10,700 people across India. Both Ambuja Cement and ACC are publicly listed companies on the Mumbai stock exchange. The transaction is subject to approval by local authorities and is expected to close in the second half of 2022.
Holcim builds progress for people and the planet. As one of the global leader in innovative and sustainable building solutions, Holcim is enabling greener cities, smarter infrastructure and improving living standards around the world. With sustainability at the core of its strategy Holcim is becoming a net zero company, with its people and communities at the heart of its success. The company is driving circular construction as a world leader in recycling to build more with less. Holcim is the company behind some of the world’s most trusted brands in the building sector including ACC, Aggregate Industries, Ambuja Cement, Disensa, Firestone Building Products, Geocycle, Holcim, Lafarge and Malarkey Roofing Products.
Holcim is 70,000 people around the world who are passionate about building progress for people and the planet through four business segments such as cement, ready-mix concrete, aggregates and solutions and products.