New Delhi: Ambuja Cements has outlined plans to amalgamate group companies ACC Ltd and Orient Cement Ltd into itself, a move aimed at creating a unified, pan-India cement powerhouse under what the Adani Group calls a “One Cement Platform.”
In a capital market Q&A filed with stock exchanges on Monday, the company said the merger would simplify the group’s corporate structure, optimise manufacturing and logistics networks, and strengthen balance sheet efficiency, while enabling more focused capital allocation to support long-term growth.
Post-merger, Adani Cement will operate with a combined cement capacity of 107 million tonnes per annum (MTPA), spread across 24 integrated units and 22 grinding units, giving it a strong presence across all major regions. The company expects the consolidation to deliver cost optimisation and margin expansion of at least ₹100 per tonne through rationalised branding, sales promotion, and supply chain efficiencies.
Under the proposed swap ratios, Ambuja will issue 328 equity shares of ₹2 each for every 100 equity shares of ACC (face value ₹10), and 33 equity shares of ₹2 each for every 100 equity shares of Orient Cement (face value ₹1). Shares held by Ambuja in the merging entities will be cancelled as part of the transaction.
The appointed date for ACC’s merger is January 1, 2026, while Orient Cement’s appointed date is May 1, 2025. The company said Competition Commission of India approval will not be required as the transactions qualify as intra-group mergers.
Following the amalgamation, all subsidiaries of ACC will become subsidiaries of Ambuja, while Orient Cement has no subsidiaries or joint ventures. Promoter and promoter group holding in Ambuja is expected to reduce to 60.94% from 67.65%, subject to regulatory approvals for all ongoing and proposed mergers, including Sanghi and Penna.
Ambuja said both Ambuja and ACC brands will continue to operate post-merger, depending on product positioning across segments. From an ESG perspective, the unified structure is expected to enable consistent adoption of best practices and improve sustainability metrics across operations.
The merger is subject to approvals from shareholders, creditors, SEBI and the NCLT, and is expected to be completed within 12 months.