February 6, 2020
Nuvoco Vistas Corporation Limited, India’s leading building materials company and part of the Nirma Group, today announced that it has entered into a share purchase agreement with Emami Group for the acquisition of 100% shareholding of Emami Cement Limited (ECL) for an enterprise value of INR 5500 crores. The proposed transaction is subject to approval by the Competition Commission of India (CCI).
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 million tonnes per annum; and with 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 and specifically in the East. This will bring its total cement capacity in Eastern, Northern and Western India to 23.5 million tonnes (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 3 facilities in Chhattisgarh, 2 each in Rajasthan and West Bengal, and 1 each in Bihar, Jharkhand, Odisha, and Haryana. Nuvoco’s cement sales will spread across 12 states: Chhattisgarh, Odisha, West Bengal, Bihar, Jharkhand, Rajasthan, Madhya Pradesh, Gujarat, NCR region, Punjab, Uttar Pradesh and Haryana.
Hiren Patel, Chairman – Nuvoco, said, “This acquisition is a momentous and transformational step in Nuvoco’s journey to becoming a major building materials 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.”
About Nirma Limited
Founded by Dr. Karsanbhai Patel and headquartered at Ahmedabad in Gujarat (India); Nirma Limited is one of India’s diversified conglomerates with businesses across industrial and consumer products ranging from Soaps and Detergents, Salt, Soda Ash, Caustic Soda, LAB, and other chemicals. With over 12 manufacturing facilities in India and the USA, Nirma sells its products across 6 continents and has market leadership across several verticals.
Nuvoco Vistas Corporation Limited, a Nirma Group company, is a leading manufacturer and retailer of building materials with a vision to build a safer, smarter and more sustainable world. Today it is amongst one of the major players in Cement in East, Central and North India with an installed capacity of around 14 MTPA. Its Modern Building Materials vertical comprises construction chemicals, wall fill solutions, and cover blocks through its Zero M range of products. Nuvoco's RMX business has a pan-India presence and has contributed to landmark projects like Lodha World One, Amritsar Entry Gate, and the Metros (Delhi, Jaipur, Noida and Mumbai). Guided by the enduring principles of safety for its employees and responsibility for the community and environment; the company is charting its course to shape a new world. (www.nuvoco.in)
About Emami Group
Emami Group is a diversified business conglomerate, generating employment for over 20,000 + employees. The Group has significant presence with leadership positions in diversified industries such as FMCG – Emami Ltd. – The flagship entity of the Group & one of the leading FMCG companies in the country engaged in manufacturing & marketing of personal care and healthcare products like Navratna, BoroPlus, Zandu Balm, Fair & Handsome and Kesh King; Bio Diesel and Edible Oil – Emami Agrotech – 2nd largest edible oil refinery in India with a capacity of 7000 TPD. It is also the only bio-diesel manufacturer in Eastern India; Paper – Emami Paper Mills – India’s largest newsprint manufacturer with recent diversification in multi layered paperboard; Writing Instrument – CRI Ltd. – World’s 2nd largest ball point tip manufacturer; Realty – Emami Realty – A leading real estate company with prestigious projects viz. Emami City, Urbana, South City etc in Kolkata, Emami Tejomaya in Chennai and Emami Aerocity in Coimbatore; Healthcare – AMRI Hospitals – Eastern India’s largest chain of private hospitals; Retail – Emami Frank Ross and Starmark – Largest pharmacy retail chain in the East & one of the largest leisure-cum-book store chains in India; Contemporary Art – Emami Art – One of the largest creative centre and art galleries in India. The Group also has its presence in Solar Power sector.
For more information, please visit www.emamigroup.com.Source: Newsvior