CCI approves acquisition of up to 72.8% stake in Orient Cement by Ambuja Cements

The Competition Commission of India on March 4 said it has approved the proposed acquisition of up to 72.8% stake in CK Birla group firm Orient Cement by Ambuja Cements.

In October, billionaire Gautam Adani-led Adani Group said it has signed a binding agreement for the acquisition of Orient Cement Ltd (OCL) at an equity value of Rs 8,100 crore. The acquisition will add 16.6 MTPA (million tonne per annum) capacity to Adani Cement, which operates through Ambuja Cements in the sector.

The proposed transaction is a two-stage acquisition process, initiated through two share purchase agreements (SPAs) on October 22, 2024, will see Ambuja Cements initially acquiring a 46.80% stake in Orient Cement.

This includes a 37.90% stake from the current promoter group and an additional 8.90% from certain public shareholders.Ambuja Cements, the cement and building material company of Adani Cement and is a part of the diversified Adani Group. It operates 22 integrated cement plants across India, as well as 10 bulk cement terminals and 21 grinding units.