According to a report by India Ratings, Indian cement sector is set to witness large scale mergers and acquisitions (M&A), as the country’s cement industry also attracting international interest. The domestic scene has been rife with potential M&As.
A case in point is the renewed talks between the Jaypee Group and the Aditya Birla Group for the sale of the former’s cement units in Gujarat. The deal, when it fructifies, could have Birlas shelling out close to Rs 4,357 crore for the Jaypee units.
Jaypee Cement operates two plants in Sewagram, Kutch, and Wanakbori, Gujarat. Both have a capacity of 2.4 million tonne. Earlier, the company was in talks with the CRH Group of Ireland to sell the cement units, but the deal fell through over valuation reports.