Displaying items by tag: India

India: Adani Group is legally ‘paving the way’ for an eventual merger of its cement subsidiaries ACC and Ambuja Cements into Adani Cement. The Hindu BusinessLine News has reported that the merger is not likely to reach completion before April 2024.

Adani Group holds a 63% stake in Ambuja Cements, which in turn holds a 50% in ACC. Adani Group additionally holds a 6.7% direct stake in ACC.

India: Adani Group says that it will raise funds for its 2028 capacity expansion plan through internal accruals. The producer plans to double its cement capacity to 140Mt/yr by 2028, and also double its sales to US$8.5bn that year. The Financial Express newspaper has reported that the group says its internal accruals will be 'sufficient' to realise its aims. The group is reportedly 'on track' to commence the first phase of the planned expansion in early-mid-2023. It has also set out a cost reduction roadmap with a view to becoming India's most profitable cement company.

Chair Gautam Adani says that he anticipates a 'multi-fold rise' in all-Indian cement consumption due to forecast high economic growth and the government's infrastructure spending plans.

India: UltraTech Cement sold 106Mt of cement during the 2023 financial year, which ended on 31 March 2023. This corresponds to a 12% year-on-year rise from 94Mt in the 2022 financial year. The producer sold 30Mt of cement during the fourth quarter of the financial year, up by 14% year-on-year from 28Mt.

The Hindu newspaper has reported that UltraTech Cement ended the financial year with a cement production capacity of 134Mt/yr, including 2Mt/yr-worth of white cement capacity. It also operates three wall putty plants.

India: Adani Group has reportedly relocated 'significant roles' in ACC and Ambuja Cements to Ahmedabad, Gujarat. ACC and Ambuja Cements' headquarters are situated in Mumbai, Maharashtra, and employ 6000 and 4700 people respectively. The Business Standard newspaper has reported that many people in leadership positions now based in Ahmedabad continue to run teams in Mumbai.

Kenya: Bamburi Cement has appointed Mohit Kapoor as its Group Chief Executive Officer (CEO), with effect from 1 April 2023. He succeeds Seddiq Hassani, who has held the position since 2018.

Kapoor is an electrical engineer who has also worked in marketing and supply chain management. He previously held the post of the CEO of Holcim Qatar. Prior to this he worked as the Head of Growth and Innovation at Holcim India, the Managing Director of Readymix Projects, the Vice President of Logistics and Supply Chain at Lafarge India and the Senior Project Manager for Lafarge Group Audit.

India: Ramco Cements has accepted bids worth US$60.9m for bonds maturing in four years, in four years and six months and in five years. Reuters has reported that the two shorter maturity bonds are each worth US$18.2m, while the five-year maturity bond is worth US$24.3m.

India: Malabar cement has announced the launch of a new dry mix for plastering buildings. The Hindu newspaper has reported that the mix consists of dried sand and cement. It is available in 40kg bags.

India: Ambuja Cements' parent company Adani Group says that the cement producer aims to more than double its sales to US$8.5bn in 2028. Ambuja Cements currently expects to record sales of US$3.61bn in 2023. It is targeting an earnings before interest, taxation, depreciation and amortisation (EBITDA) margin of 25% in 2028. Its EBITDA margin averaged 19% in the period from 2020 to 2022.

Dow Jones Institutional News has reported that Ambuja Cements' internal accruals are sufficient to fund US$5.58bn in capital expenditure (CAPEX) over the same period, according to the company. It says that it plans to double its capacity through CAPEX investments before 2028.

India: Credit rating agency Crisil expects the Indian cement sector's capacity to expand at a compound annual growth rate (CAGR) of 4 - 5% over the four-year period up to the end of the 2027 financial year on 31 March 2027. It would thus begin the 2028 financial year at 715 - 725Mt/yr in installed capacity, compared to 570Mt/yr at the end of the 2023 financial year. The industry's total investment in the expansion is expected to be US$14.5bn. Major multi-state producers are expected to contribute over US$7.25bn (50%) of investments towards the total sum.

Over the same period, Crisil expects all-India cement demand to rise at a CAGR of 6 - 7%.

India: Dalmia Cement has awarded a contract for the supply of fly ash and other industrial waste to Vedanta Aluminium. Under the deal, Vedanta Aluminium will supply fly ash for use at Dalmia Cement’s cement plants across Odisha, Chhattisgarh, Meghalaya and Assam. It will deliver spent pot linings to the producer’s Rajgangpur cement plant in Odisha. The fly ash contract will remain in effect until 2028 and the pot lining contract until 2026.

Vedanta chief executive officer Sunil Gupta said “Strategic collaborations such as this will provide multiple benefits in terms of enhanced quality, sustainability and cost benefits to cement manufacturing, while helping us in gainful waste management. Our waste-to-wealth initiatives are designed to develop thriving value-chains for converting our by-products into resources for complementary industries.”