Gautam Adani, one of the richest persons and most prominent industrialists of the country, can create a new explosion in the cement industry. After entering the cement industry, Gautam Adani, who soon reached the front row, has got an opportunity for a new deal. If this deal goes through, the presence of Gautam Adani and his Adani Group in the cement industry will become stronger than before.
Offer received from Orient Cement
According to a report by ET. So Adani Group has received an offer from Orient Cement. The report quoted people associated with the matter as saying that industrialist CK Birla has approached Gautam Adani to sell his stake in Orient Cement. Earlier, CK Birla has received offers from other companies, but they were rejected due to lack of consensus regarding valuation.
Adani has made these big deals
If the deal between Adani Group and Orient Cement is finalized then it will be a new big deal in the cement industry within a few months. Even before this, Adani had made a deal that changed the balance in the cement industry, when the group acquired Holcim’s Indian business. The deal between Adani and Holcim was completed in September last year. ACC and Ambuja Cement, part of Adani Group, came in a deal worth more than $10 billion. After that, Adani Group has completed the acquisition of cement business of Sanghi Industries in August this year.
Now only one name ahead of Adani
If we talk about cement industry, right now in India Only UltraTech Cement is ahead of Adani Group. UltraTech Cement currently has an annual production capacity of 140 million tonnes, while Adani is at second place with an annual production capacity of 70 million tonnes. Adani Group plans to increase the total production of cement to 140 million tonnes per year by 2028. The deal to acquire Orient Cement can help Adani achieve its goal.
Orient’s share in these markets
If we look at the entire country, then UltraTech is in the cement industry. And apart from Adani, companies like JK Cement and Shree Cement are also included in the first row. If we look at Orient Cement, it has a huge market share in many states. The company holds a major stake in Maharashtra, Telangana, Andhra Pradesh and Karnataka. The company also has a good stake in Madhya Pradesh, Tamil Nadu, Kerala, Gujarat and Chhattisgarh. At present the total capacity of the company is to produce about 8 million tonnes of cement annually. This is more than the 6.1 million tonne per annum capacity of Sanghi Industries, which has been purchased by Adani Group’s Ambuja Cement.
However, neither Adani Group nor Adani Group has made any official announcement regarding this proposed deal. No comment has been made by Orient Cement, nor has Orient Cement given any official information.
Get more latest business news updates