The Business Bytes
TBB BUREAU
NEW DELHI, DEC 12, 2022
Dalmia Bharat Ltd on Monday announced the acquisition of the cement assets of Jaypee Group’s flagship company Jaiprakash Associates Ltd and its associate firms at an enterprise value of Rs 5,666 crore.
In a regulatory filing, Dalmia Bharat informed that its wholly-owned subsidiary Dalmia Cement Bharat Limited (DCBL) has entered into a binding framework agreement for the acquisition of clinker, cement and power plants from Jaiprakash Associates Limited and its associate company.
The deal includes a total cement capacity of 9.4 Million tonnes (MnT) per annum, along with clinker capacity of 6.7 MnT and thermal power plants of 280MW at an enterprise value of Rs 5,666 crore, it added.
“These assets are situated in the states of Madhya Pradesh, Uttar Pradesh and Chhattisgarh,” said Dalmia Bharat.
The acquisition will help Dalmia expand its footprint into the central region, it added.
Besides, it will also “represent a significant step towards realisation of its vision to emerge as a pan-India cement company with a capacity of 75 MnT by FY27 and 110-130 MnT by FY31,” it added.
The transaction is subject to due diligence, requisite approvals from lenders/JV partner of Jaiprakash Associates Limited and regulatory authorities, it added.
