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Wed June 29 2022

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Holcim sells its India business

18 May Adani Group to acquire Holcim’s stakes in Indian companies Ambuja Cement and ACC for CHF6.4bn (£5.2bn).

Ambuja Cement has extensive operations in India
Ambuja Cement has extensive operations in India

Holcim has signed a binding agreement with Adani Group for the deal, comprising its 63.11% stake in Ambuja Cement, which owns a 50.05% interest in ACC, as well as its 4.48% direct stake in ACC.

Ambuja Cement and ACC have a combined footprint that 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.

Adani Group has a portfolio of businesses in India ranging from infrastructure to energy. Holcim had entered India in 2005 and had made strategic investments including new plants and green technologies such as heat recovery systems.

Holcim CEO Jan Jenisch sad: “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.

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“The construction sector has never been as attractive as it is today, with so many opportunities to build better and more with less, to improve living standards for all in a sustainable manner. In the last twelve months, we have invested CHF 5 billion 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.

“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.”

Adani Group chairman Gautam Adani 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 recognize 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.”

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