Ambuja Cements announces the successful conclusion of its acquisition of Sanghi Industries Limited (SIL), with the enterprise value settling at ₹ 5,185 crore exceeding the initially anticipated ₹ 5,000 crore.
In the course of finalising the deal, Ambuja Cements engaged in a strategic trade (both on and off-market) to procure 54.51 percent of the voting share capital from Sanghi Industries’ promoters. Notably, the acquisition of these shares has been entirely financed through internal accruals.
The transaction, executed at a rate of ₹ 121.90 per equity share, also involves the planned acquisition of the remaining 2.23 percent of the voting share capital from the promoters, expected to occur at the same price point. It’s noteworthy that this revised price surpasses the previously approved rate of ₹ 114.22 per share.
Additionally, Ambuja Cements, on the same day, committed to extending an additional financial support of ₹ 1,810 crore to Sanghi Industries through an inter-corporate deposit agreement. This injection of funds aims to facilitate the settlement of outstanding amounts related to credit facilities utilised by Sanghi Industries. It is worth mentioning that back in August, Ambuja Cements had initially sanctioned an inter-corporate deposit of up to ₹ 300 crore to Sanghi Industries.
Following the successful acquisition, the combined capacity of Adani Cement comprising Ambuja Cements and ACC now stands at an impressive 74.6 million tonnes per annum (MTPA), reflecting a notable increase from the previous 68.5 MTPA.
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