Ambuja Cements boosts leadership with Sanghi Industries acquisition
Cement

Ambuja Cements boosts leadership with Sanghi Industries acquisition

"Ambuja Cements, one of the largest cement companies in India, has successfully acquired Sanghi Industries, a prominent cement manufacturer in western India, for an enterprise value of Rs 51.85 billion. Adani Group, which acquired a majority stake in Ambuja Cements in September 2022, now holds a controlling share of 54.51% in Sanghi Industries. The acquisition, fully financed through internal accruals, elevates Ambuja Cements' consolidated capacity from 68.5 MTPA to 74.6 MTPA.

Ajay Kapur, Chief Executive Officer of the Cement Business at Adani Group, emphasised the strategic significance of the acquisition in solidifying the group's leadership position in India's cement industry. He stated, ""This acquisition represents a significant step forward in our journey, strengthening our commitment to delivering high-quality products and services to our customers while contributing to India's infrastructure development.""

The acquisition grants Adani Group access to Sanghi Industries' Sanghipuram, a massive integrated manufacturing unit spread over 2,700 hectares in western Gujarat, recognised as India's largest single-location cement and clinker production facility. Sanghipuram features two kilns with a clinker production capacity of 6.6 MTPA, a cement grinding unit of 6.1 MTPA, a dedicated 13 MW captive power plant, and an efficient 13 MW waste facility, according to Adani Cement.

This strategic move enables Ambuja Cements to advance its unique coastal strategy, aiming to boost cement capacity to 15 MTPA along the west coast of India, leveraging Sanghi Industries' low-cost clinker. The initiative will harness the strengths of Ambuja and ACC brands, Adani Group's expertise in ports and shipping, and the cost advantages of the Sanghipuram unit.

Ambuja Cements plans to invest in expanding the existing captive port at Sanghipuram to accommodate larger vessels, contributing significantly to the nation's infrastructure development by meeting the growing demand for cement in Gujarat, Maharashtra, Karnataka, and Kerala at a competitive cost. The expansion is expected to be commissioned over the next 30 months.

Kapur highlighted that the cost and geographic advantages of the 15 million tons coastal strategy will enhance the bottom line of Ambuja Cements. The company remains committed to investing in cutting-edge technologies and best practices to ensure the highest quality standards and environmental stewardship."

Ambuja Cements, one of the largest cement companies in India, has successfully acquired Sanghi Industries, a prominent cement manufacturer in western India, for an enterprise value of Rs 51.85 billion. Adani Group, which acquired a majority stake in Ambuja Cements in September 2022, now holds a controlling share of 54.51% in Sanghi Industries. The acquisition, fully financed through internal accruals, elevates Ambuja Cements' consolidated capacity from 68.5 MTPA to 74.6 MTPA.Ajay Kapur, Chief Executive Officer of the Cement Business at Adani Group, emphasised the strategic significance of the acquisition in solidifying the group's leadership position in India's cement industry. He stated, This acquisition represents a significant step forward in our journey, strengthening our commitment to delivering high-quality products and services to our customers while contributing to India's infrastructure development.The acquisition grants Adani Group access to Sanghi Industries' Sanghipuram, a massive integrated manufacturing unit spread over 2,700 hectares in western Gujarat, recognised as India's largest single-location cement and clinker production facility. Sanghipuram features two kilns with a clinker production capacity of 6.6 MTPA, a cement grinding unit of 6.1 MTPA, a dedicated 13 MW captive power plant, and an efficient 13 MW waste facility, according to Adani Cement.This strategic move enables Ambuja Cements to advance its unique coastal strategy, aiming to boost cement capacity to 15 MTPA along the west coast of India, leveraging Sanghi Industries' low-cost clinker. The initiative will harness the strengths of Ambuja and ACC brands, Adani Group's expertise in ports and shipping, and the cost advantages of the Sanghipuram unit.Ambuja Cements plans to invest in expanding the existing captive port at Sanghipuram to accommodate larger vessels, contributing significantly to the nation's infrastructure development by meeting the growing demand for cement in Gujarat, Maharashtra, Karnataka, and Kerala at a competitive cost. The expansion is expected to be commissioned over the next 30 months.Kapur highlighted that the cost and geographic advantages of the 15 million tons coastal strategy will enhance the bottom line of Ambuja Cements. The company remains committed to investing in cutting-edge technologies and best practices to ensure the highest quality standards and environmental stewardship.

Next Story
Resources

Madhya Pradesh Champions Inclusive Tourism at Heritage Sites

On the occasion of World Heritage Day, Madhya Pradesh is taking a significant step toward inclusive tourism by making its historical sites accessible to all — especially persons with disabilities. The state is rolling out its ‘Accessibility Infrastructure and Development’ project at Maheshwar, Mandu, Dhar, and Orchha, aiming to create a more welcoming experience at these iconic cultural destinations.The initiative, under the leadership of Chief Minister Dr Mohan Yadav and Tourism Minister Shri Dharmendra Bhav Singh Lodhi, includes infrastructure upgrades such as ramps, Braille signage, w..

Next Story
Resources

Runwal Realty Onboards Sonam Kapoor as Brand Ambassador

Real estate major Runwal has unveiled a refreshed identity as Runwal Realty, signalling a renewed commitment to crafting spaces that stand the test of time. With this refresh, the brand unveils its new philosophy: “Building for Generations to Come” and welcomes Bollywood star and global fashion icon Sonam Kapoor as its brand ambassador. This evolved identity reflects Runwal Realty’s commitment to creating not just homes, but heirlooms—crafted through visionary design, meticulous planning, global design expertise and an unwavering focus on quality. With the customer at its core, each de..

Next Story
Infrastructure Urban

Emerging Trends in Infrastructure and Transport 2025: KPMG

KPMG’s latest report, The Great Reset: Emerging Trends in Infrastructure and Transport 2025 edition, sheds light on the profound changes transforming the global infrastructure landscape. As industries adapt to the challenges posed by climate change, economic pressures, and technological advancements, the report identifies key trends and provides actionable insights for leaders in infrastructure and transport sectors. “In today’s interconnected world, the lack of standardized supply chain practices is not just an operational challenge—it’s an environmental and economic one. We’..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?