Holcim sells Indian business for 6.4 billion Swiss francs
The building materials group Holcim is selling all of its 63 percent stake in the Indian building materials brands Ambuja Cement and ACC to the Adani Group. The Zug-based and Indian companies have reached a binding agreement on this. For Holcim, this results in cash proceeds of 6.4 billion Swiss francs.
The Zug-based building materials company Holcim is selling its 63.11 percent stake in the Indian company Ambuja Cement and ACC to the Indian Adani Group . According to a media release , the two contracting parties have agreed on this. For Holcim, the sale means cash proceeds of 6.4 billion Swiss francs. The company is investing a large part of this in the expansion of its Solutions & Products division.
The Indian building materials brand Ambuja Cement , in turn, owns a 50.05 percent stake and a direct stake of 4.48 percent in the Indian building materials company ACC . Together they have 31 cement plants and 78 ready-mixed concrete plants with 10,700 employees across India. The transaction is expected to close in the second half of this year, subject to local authority approvals.
“With the Adani Group we have found the perfect new owner to initiate the next growth phase of our Indian business for our employees and stakeholders in a fast and efficient transaction,” Jan Jenisch, CEO at Holcim, is quoted as saying in the press release. Holcim entered the Indian market in 2005.
With its CHF 5 billion investment in the Solutions & Products business area as a “new growth engine”, Holcim aims to become the world’s leading provider of innovative and sustainable building solutions. “The construction sector has never been as attractive as it is today. There are many ways to build better and more with less to improve living standards for everyone in a sustainable way.”