BANKING AND ECONOMY
In a $10.5 billion deal, Adani Group acquired a controlling stake in Holcim AG's cement businesses - the world's largest cement maker - in India to become the second-biggest cement producer in the country. This would be the largest-ever acquisition by Adani Group. This is India's largest-ever M&A transaction in the infrastructure and materials space.
It acquired 63.19% of Ambuja Cements Ltd and its subsidiary ACC in fierce bidding with local companies. Holcim, through its subsidiaries, holds 63.19% in Ambuja Cements and 54.53% in ACC. The capacity of the company is 66 million tonnes per annum (MTPA). Ambuja Cements has a cement capacity of 31 million tonnes with 6 integrated cement manufacturing plants and 8 cement grinding units across the country.
The group had last year set up two cement subsidiaries - Adani Cementation Ltd which was planning to set up two cement units at Dahej in Gujarat and Raigarh in Maharashtra; and Adani Cement Ltd.
In 2015, Holcim merged with France's Lafarge to create LafargeHolcim. In June 2016, Ambuja bought Holcim India's 24% stake in ACC, which resulted in the latter becoming Ambuja's subsidiary with a 50.05% stake.