One of the biggest acquisitions in India’s history, has seen the Jaiprakash Associates business, Jaypee Cement, sold to UltraTech Cement for US$2.5 billion.
The deal encompasses Jaypee’s six integrated cement plants and five grinding units, with a total capacity of just over 21 million tonnes.
Following the acquisition – and excluding Chinese firms – UltraTech becomes the world’s fourth-largest player in the sector, with 18 integrated plants, 1 clinkerisation unit, 25 grinding units and 7 bulk terminals.
The firm will now boast a total cement manufacturing capacity in advance of 90 million tonnes per annum.
UltraTech Chairman Kumar Mangalam Birla said, “This move is essentially for geographic market expansion, enabling UltraTech’s entry into the high growth markets of India where it needed greater reinforcement.”