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Nirma raises Rs 4k-cr debt to fund Lafarge deal

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Ahmedabad-based detergent major Nirma has raised Rs 4,000-crore debt to buy the cement business of French major Lafarge India.
The deal had been agreed upon in July. "The Rs 4,000-crore five-year bond sale by Nirma offers a yield of 8.68 per cent, and was oversubscribed 1.5 times. This is the largest rupee bond sale for a leveraged acquisition as also the largest AA-rated debt instrument," investment banking sources have been quoted as saying in news reports.
The money for funding the deal was raised by Nirchem, a Special Purpose Vehicle created by Nirma for the buyout. The company appointed Barclays, Credit Suisse and IDFC for managing the issue. The issue had been closed successfully and would be listed on the exchanges.
In July this year, Swiss cement giant Lafarge-Holcim had announced that it was entering an agreement to sell its assets in Lafarge India to Nirma for $1.4 billion or Rs 9,400 crore to get clearance from the fair trade regulator Competition Commission of India (CCI) for the deal as part of the global merger.
The agreement, part of the building material major’s 3.5 billion Swiss franc (about $3.6 billion) divestment plan, is crucial for approval from CCI for the multibillion dollar global merger between Lafarge and Holcim that was announced last year.

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Concrete

Shree Cement reports 2025 financial year results

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Shree Cement posted revenue of US$2.38 billion for FY2025, marking a 5.5 per cent decline year-on-year. Operating costs rose 2.9 per cent to US$2.17 billion, resulting in an EBITDA of US$528 million—down 12 per cent from the previous year. Net profit fell 50 per cent to US$141 million. The company reported cement sales of 9.84Mt in Q4 FY2025, a 3.3 per cent increase from 9.53Mt in Q4 FY2024, with premium products making up 16 per cent of total sales.

Image source:https://newsmantra.in/

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Concrete

Rekha Onteddu to become director at Sagar Cements

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Sagar Cements has announced the appointment of Rekha Onteddu as a non-executive independent director, effective 30 June 2025. According to People in Business News, Rekha Onteddu is currently serving in a similar capacity at Andhra Cements, the parent company of Sagar Cements.

Image source:https://sagarcements.in/

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Concrete

India’s cement consumption set to rise

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According to a Moody’s report, India’s cement consumption is projected to rise by 50 per cent over the next five years, increasing from 445 million metric tons per annum (MMTPA) in FY24 to 670 MMTPA by 2030. This growth is expected to be driven by government infrastructure spending and rising housing demand, with an anticipated annual growth rate of 6-7 per cent. To meet this demand, major cement companies are likely to continue acquiring smaller, less profitable firms.

Image source:https://www.telegraphindia.com/

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