Concrete

Holcim to make cement more sustainable & environment friendly

Holcim said cement production needs high temps, greenhouse emissions

Published

4 years ago

April 26, 2022

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It’s as puzzling as it is bold for building materials manufacturing MNC to pull the plug on a country where 10-15 million families still live in kutcha and semi-pucca houses with mud, wood, or bamboo floors. Although Jan Jenisch, Holcim CEO, recognised that cement and climate are becoming increasingly incompatible.

Holcim’s founders, the Swiss Schmidheiny family, were unable to escape a controversy involving the Italian asbestos manufacturer Eternit Genova, which was determined to be responsible for the deaths of over 2,000 people supposedly exposed to the poisonous substance.

Stephan Schmidheiny, the primary shareholder of Eternit Genova, was found guilty by a Turin court in 2012 of refusing to implement asbestos-prevention measures that would have protected employees and residents.

The verdict was reversed by the Italian Supreme Court two years later, but the reputational harm had already been done.

Jenisch and his shareholders wouldn’t want another malignant sore point after the lingering controversy and the 2016 discovery that the then-post-merger firm LafargeHolcim had paid taxes to Islamic State (IS) intermediaries in 2013-14 to keep its facility in Jalabiya, Syria, operational.

Therefore, Jenisch has started preparing the groundwork for a new Holcim, moving away from past obsessions with cement, aggregates, and ready-mix concrete and toward a more sustainable and environmentally friendly future.

Cement production necessitates high temperatures and produces significant volumes of greenhouse emissions.

Jenisch is not shying away from divesting Holcim’s sprawling India operations, as well as similar sales in Brazil, Mozambique, and Northern Ireland, to speed up its transition to a green company.

The company aims to over halve its cement revenue share by 2025 while increasing its greener portfolio by more than 3.5 times.

It also makes business sense to promote ESG in today’s era of conscientious capitalism (environmental, social and governance).

Holcim, which trades at a 12.8 price-to-earnings (PE) ratio, might see its valuation rise if it transitions from a pure commodities player to offering solutions or diversifying into building chemicals.

Sika, on the other hand, trades for over four times the multiples. And if you consider Pidilite, the Indian adhesives behemoth, which is presently trading at 97.9 PE, the value difference is eight times larger.

This Holcim playbook will be adopted by an increasing number of industrial enterprises throughout the world, including India. Asian Paints has progressed to become a home renovation expert, while cement companies JSW and JK, like the Aditya Birla Group, have expanded into paints and other value-added services.

A rising number of industrial firms throughout the world, particularly in India, will follow Holcim’s lead. Asian Paints has evolved into a home remodelling specialist, while JSW and JK, like the Aditya Birla Group, have diversified into paints and other value-added services.

An intermediate way might be to use the moat of predictable cash flows created by old activities.

Ambani’s move into telecommunications and retail was first financed by his conventional petrochemicals sector, just like ITC did with tobacco to support its hotels, FMCG, and paper verticals.

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Related Topics:Adani Group Greenhouse Gases Holcim Group Islamic State (IS)Sustainable Cement

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Nuvoco Vistas Reports Record Q2 EBITDA, Expands Capacity to 35 MTPA

Cement Major Nuvoco Posts Rs 3.71 bn EBITDA in Q2 FY26

Published

4 days ago

October 22, 2025

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Nuvoco Vistas Corp. Ltd., one of India’s leading building materials companies, has reported its highest-ever second-quarter consolidated EBITDA of Rs 3.71 billion for Q2 FY26, reflecting an 8% year-on-year revenue growth to Rs 24.58 billion. Cement sales volume stood at 4.3 MMT during the quarter, driven by robust demand and a rising share of premium products, which reached an all-time high of 44%.

The company continued its deleveraging journey, reducing like-to-like net debt by Rs 10.09 billion year-on-year to Rs 34.92 billion. Commenting on the performance, Jayakumar Krishnaswamy, Managing Director, said, “Despite macro headwinds, disciplined execution and focus on premiumisation helped us achieve record performance. We remain confident in our structural growth trajectory.”

Nuvoco’s capacity expansion plans remain on track, with refurbishment of the Vadraj Cement facility progressing towards operationalisation by Q3 FY27. In addition, the company’s 4 MTPA phased expansion in eastern India, expected between December 2025 and March 2027, will raise its total cement capacity to 35 MTPA by FY27.

Reinforcing its sustainability credentials, Nuvoco continues to lead the sector with one of the lowest carbon emission intensities at 453.8 kg CO? per tonne of cementitious material.

Concrete

Jindal Stainless to Invest $150 Mn in Odisha Metal Recovery Plant

New Jajpur facility to double metal recovery capacity and cut emissions

Published

1 week ago

October 17, 2025

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Jindal Stainless Limited has announced an investment of $150 million to build and operate a new wet milling plant in Jajpur, Odisha, aimed at doubling its capacity to recover metal from industrial waste. The project is being developed in partnership with Harsco Environmental under a 15-year agreement.

The facility will enable the recovery of valuable metals from slag and other waste materials, significantly improving resource efficiency and reducing environmental impact. The initiative aligns with Jindal Stainless’s sustainability roadmap, which focuses on circular economy practices and low-carbon operations.

In financial year 2025, the company reduced its carbon footprint by about 14 per cent through key decarbonisation initiatives, including commissioning India’s first green hydrogen plant for stainless steel production and setting up the country’s largest captive solar energy plant within a single industrial campus in Odisha.

Shares of Jindal Stainless rose 1.8 per cent to Rs 789.4 per share following the announcement, extending a 5 per cent gain over the past month.

Concrete

Vedanta gets CCI Approval for Rs 17,000 MnJaiprakash buyout

Acquisition marks Vedanta’s expansion into cement, real estate, and infra

Published

1 week ago

October 17, 2025

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Vedanta Limited has received approval from the Competition Commission of India (CCI) to acquire Jaiprakash Associates Limited (JAL) for approximately Rs 17,000 million under the Insolvency and Bankruptcy Code (IBC) process. The move marks Vedanta’s strategic expansion beyond its core mining and metals portfolio into cement, real estate, and infrastructure sectors.

Once the flagship of the Jaypee Group, JAL has faced severe financial distress with creditors’ claims exceeding Rs 59,000 million. Vedanta emerged as the preferred bidder in a competitive auction, outbidding the Adani Group with an overall offer of Rs 17,000 million, equivalent to Rs 12,505 million in net present value terms. The payment structure involves an upfront settlement of around Rs 3,800 million, followed by annual instalments of Rs 2,500–3,000 million over five years.

The National Asset Reconstruction Company Limited (NARCL), which acquired the group’s stressed loans from a State Bank of India-led consortium, now leads the creditor committee. Lenders are expected to take a haircut of around 71 per cent based on Vedanta’s offer. Despite approvals for other bidders, Vedanta’s proposal stood out as the most viable resolution plan, paving the way for the company’s diversification into new business verticals.