Ambuja Cements, a part of the Adani Cement division, has finalised an acquisition deal for Orient Cement (OCL) worth Rs 8,100 crore. Through this transaction, Ambuja Cements will acquire 46.8% of OCL’s shares from current promoters and select public shareholders. The acquisition will significantly boost Ambuja’s production capacity, with OCL adding 16.6 MTPA (million tonnes per annum), including 8.5 MTPA that is already operational and 8.1 MTPA of planned capacity.
This acquisition brings Ambuja Cements closer to achieving its goal of 100 MTPA cement capacity by the 2025 financial year. OCL’s assets include robust infrastructure, supported by captive power plants, renewable energy, waste heat recovery systems (WHRS), and alternate fuel resources (AFR). OCL also boasts a clinker production capacity of 5.6 MTPA and 8.5 MTPA in cement capacity. There are clearances in place to expand further, with plans to add another 6 MTPA of clinker capacity and 8.1 MTPA of cement capacity.
In addition to its current operations, OCL has secured a limestone mining lease in Chittorgarh, Rajasthan, which will facilitate the establishment of an Integrated Unit (IU) with 4 MTPA of clinker capacity and a split grinding unit (GU) with 6 MTPA capacity in northern India. OCL has also signed an agreement with MPPGCL in Madhya Pradesh to develop a grinding unit within the Satpura Thermal Power Plant premises. These new assets align with Adani Group’s broader plans to enhance its cement production capabilities.
OCL recently commissioned a waste heat recovery system at its Chittapur Integrated Unit, and is nearing completion of solar projects, with 16 MW in Chittapur and 3.7 MW in Jalgaon.
CK Birla, Chairman of Orient Cement and the CK Birla Group, expressed confidence in the Adani Group’s ability to drive growth for Orient Cement, highlighting its strong focus on cement and infrastructure in a recent statement.
