Ambuja Cements will acquire 56.74% shares of Sanghi Industries from its existing promoter group, Mr Ravi Sanghi & family
I am pleased to announce that the Board of Directors of Ambuja Cements have approved the acquisition of Sanghi Industries Ltd at an Enterprise Value of Rs 5,000 Cr. As Karan Adani said about the acquisition of Sanghi Cement.
He further said, Ambuja Cements will acquire 56.74% shares of Sanghi Industries from its existing promoter group, Mr Ravi Sanghi & family. Sanghi Industries intergrated unit at Sanghipuram in Kutch Gujarat has clinker capacity of 6.6 MTPA, cement capacity of 6.1 MTPA and limestone reserves of 1 billion tonne. The cement capacity will be expanded further and will be taken to 15 MTPA in next 2 years. We will be also investing in deepening and expanding the captive port capacity in order to accommodate vessel sizes of 8000 DWT.
Promise to double our cement capacity by 2028 on track. Delighted to announce addition of @CementSanghi, India's most efficient / lowest cost clinker manufacturer to Adani portfolio. As part of @AmbujaCementACL, Sanghi Cement (in our karmabhoomi Kutch) significantly leverages our… pic.twitter.com/pjcUZFN3IH
— Gautam Adani (@gautam_adani) August 3, 2023
Our vision is to produce lowest cost clinker in the country at Sanghipuram and then transport clinker as well as bulk cement through coastal route to the market of Saurashtra, South Gujarat, Mumbai and Mumbai Metropolitan region, Karnataka and Kerela. Synergy with the assets of Adani ports will help us accelerate in implementation of this strategy. With the right implementation we are very confident that we would be the lowest cost supplier of cement in all these markets.
The acquisition of Sanghi Industries will help Ambuja to strengthen its market leadership and increase its cement capacity to 73.6 MTPA from the current 67.5 MTPA. With the ongoing capex of 14 MTPA and with commissioning of 5.5 MTPA of cement capacity at Dahej and Ametha in Q2 of FY23, the Adani group’s capacity will be 101 MTPA by 2025.Sanghi Industries
Ambuja’s goal of 140 MTPA capacity by 2028 is well on track and with this acquisition will be achieved ahead of time.
