/images/ppid_59c68470-image-176642502790812913.webp)
/images/ppid_59c68470-image-17664250331649792.webp)
What is the story about?
The Board of ACC Ltd has approved a Scheme of Amalgamation with its parent, Ambuja Cements Ltd, marking a decisive step towards building a single, scaled cement platform under the Adani Group.
Under the proposed structure, Ambuja Cements will issue 328 equity shares for every 100 shares held by ACC shareholders, effectively folding ACC into Ambuja to simplify ownership sharpen capital allocation and streamline operations.
In its exchange filing, the Adani Group company said the amalgamation would lead to a leaner corporate structure, consolidation of assets and the unlocking of meaningful operational and financial synergies across its cement portfolio.
The transaction is subject to approvals from the National Company Law Tribunal (NCLT) and other statutory and regulatory authorities and is expected to be completed within the next 12 months.
Adani's One Cement Platform
The ACC merger forms part of a broader consolidation strategy at Ambuja, which has also approved the amalgamation of Orient Cement, signalling the group’s intent to operate under a unified “One Cement Platform”.
Under the approved terms, Ambuja will issue 33 shares for every 100 shares of Orient Cement.
Following the completion of both mergers, promoter shareholding in the consolidated entity is expected to decline to about 60.9% from the current 67.65%.
Ambuja Cement vs UltraTech
Strategically, the consolidation significantly strengthens Ambuja’s growth runway. The combined cement business will command one of the largest manufacturing footprints in the country, bringing the Adani Group closer to its stated ambition of scaling capacity from about 107 million tonnes per annum (MTPA) currently to nearly 155 MTPA by FY28. It would sharply intensify competition with market leader UltraTech in an increasingly consolidated cement sector.
Management has indicated that the integration could deliver cost savings of around ₹100 per tonne through supply-chain efficiencies, logistics optimisation and procurement synergies.
Nirmal Bang analysts also see additional benefits of ₹40–50 per tonne over the next two to three years from improved tax efficiency and tighter working capital management.
Shares of ACC Ltd ended Thursday’s session at ₹1,782.50 on the National Stock Exchange, rising 1.77%, while Ambuja Cements Limited finished marginally in the green at ₹539.95.
On financial performance front, ACC reported a sharp jump in profitability for the September quarter , with net profit rising more than five-fold year-on-year to ₹1,112 crore, compared with ₹200 crore in the same period last year.
Revenue for the quarter grew 26.4 % to ₹5,851.5 crore from ₹4,629 crore, supported by higher volumes and improved realisations.
Ambuja Cements also posted a strong set of numbers, reporting consolidated net profit of ₹1,766 crore for the September quarter, sharply higher than ₹480 crore a year earlier. The profit growth was aided by a tax write-back of ₹1,465 crore, compared with a tax expense of ₹248 crore in the year-ago period.
Revenue increased 22 % to ₹9,175 crore from ₹7,552 crore, which the company described as its highest-ever topline for a second quarter.
Under the proposed structure, Ambuja Cements will issue 328 equity shares for every 100 shares held by ACC shareholders, effectively folding ACC into Ambuja to simplify ownership sharpen capital allocation and streamline operations.
In its exchange filing, the Adani Group company said the amalgamation would lead to a leaner corporate structure, consolidation of assets and the unlocking of meaningful operational and financial synergies across its cement portfolio.
The transaction is subject to approvals from the National Company Law Tribunal (NCLT) and other statutory and regulatory authorities and is expected to be completed within the next 12 months.
Adani's One Cement Platform
The ACC merger forms part of a broader consolidation strategy at Ambuja, which has also approved the amalgamation of Orient Cement, signalling the group’s intent to operate under a unified “One Cement Platform”.
Under the approved terms, Ambuja will issue 33 shares for every 100 shares of Orient Cement.
Following the completion of both mergers, promoter shareholding in the consolidated entity is expected to decline to about 60.9% from the current 67.65%.
Ambuja Cement vs UltraTech
Strategically, the consolidation significantly strengthens Ambuja’s growth runway. The combined cement business will command one of the largest manufacturing footprints in the country, bringing the Adani Group closer to its stated ambition of scaling capacity from about 107 million tonnes per annum (MTPA) currently to nearly 155 MTPA by FY28. It would sharply intensify competition with market leader UltraTech in an increasingly consolidated cement sector.
Management has indicated that the integration could deliver cost savings of around ₹100 per tonne through supply-chain efficiencies, logistics optimisation and procurement synergies.
Nirmal Bang analysts also see additional benefits of ₹40–50 per tonne over the next two to three years from improved tax efficiency and tighter working capital management.
Shares of ACC Ltd ended Thursday’s session at ₹1,782.50 on the National Stock Exchange, rising 1.77%, while Ambuja Cements Limited finished marginally in the green at ₹539.95.
On financial performance front, ACC reported a sharp jump in profitability for the September quarter , with net profit rising more than five-fold year-on-year to ₹1,112 crore, compared with ₹200 crore in the same period last year.
Revenue for the quarter grew 26.4 % to ₹5,851.5 crore from ₹4,629 crore, supported by higher volumes and improved realisations.
Ambuja Cements also posted a strong set of numbers, reporting consolidated net profit of ₹1,766 crore for the September quarter, sharply higher than ₹480 crore a year earlier. The profit growth was aided by a tax write-back of ₹1,465 crore, compared with a tax expense of ₹248 crore in the year-ago period.
Revenue increased 22 % to ₹9,175 crore from ₹7,552 crore, which the company described as its highest-ever topline for a second quarter.
/images/ppid_a911dc6a-image-176642554599830721.webp)
