Ambuja Cements board approves Adani Cementation's merger with company
Adani group-owned Ambuja Cements on Thursday said its board has approved the merger of Adani Cementation, which is now a subsidiary of Adani Enterprises.
After the approval of the Scheme of Amalgamation of Adani Cementation, after regulatory and shareholders approval, it would become a wholly-owned subsidiary.
The merger is totally based on share swapping and Adani Enterprises will get 8.7 million shares of Ambuja Cements.
The consolidation of cement capacities within Adani Group is "to enhance operational efficiency" and strengthen Ambuja Cements' coastal footprint.
The scheme has a "SWAP ratio of 174 shares of Ambuja Cements Ltd for every 1 share of Adani Cementation Ltd (ACL)," it said.
Adani Cementation Ltd is wholly owned by Adani Enterprise Ltd.
This will help in a better synergy for Ambuja Cements as ACL's presence at strategic locations near Dahej port and Amba River - Raigad. It will enable source clinker by Sea as well as Rail to serve high growth market of South Gujara