Nirma Group announces the acquisition of Emami Cement

Nuvoco Vistas Corporation, one of India’s leading building material companies and part of the Nirma Group, has entered into a share purchase agreement with Emami Group for the acquisition of 100 per cent shareholding of Emami Cement (ECL) for an enterprise value of Rs.55 billion. The proposed transaction is subject to approval by the Competition Commission of India (CCI).

Hiren Patel, Chairman, Nuvoco, said, “This acquisition is a momentous and transformational step in Nuvoco’s journey to becoming a major building material company in India delivering superior performance. Emami Cement will enable us to take our cement business to the next level and continue to serve our customers with innovative and high-quality products that they trust.”

ECL operates one integrated cement plant in Risdah, Chhattisgarh, and grinding units in Bihar, West Bengal and Odisha with a total installed capacity of 8.3 mtpa; and holds mining leases in Chhattisgarh, Rajasthan and Andhra Pradesh.

With the merger of the Nirmax business in Rajasthan and completion of this acquisition, Nuvoco will become one of the leading cement players in the country, specifically in the East. This will bring its total cement capacity in eastern, northern and western India to 23.5 million mt (which includes the ongoing capacity expansion project in its Jojobera plant) and over 60 ready-mix plants. The company has a substantial presence in slag cement in the East while reinforcing a strong portfolio of PPC and OPC products. The combined operations will span three facilities in Chhattisgarh, two each in Rajasthan and West Bengal, and one each in Bihar, Jharkhand, Odisha, and Haryana. Nuvoco’s cement sales will be spread across 12 states: Chhattisgarh, Odisha, West Bengal, Bihar, Jharkhand, Rajasthan, Madhya Pradesh, Gujarat, NCR, Punjab, Uttar Pradesh and Haryana.