LOOKING SOUTH

UltraTech and the Adani Group are racing for cement capacity expansion in the southern part of India

- KRISHNA GOPALAN

INDIA'S CEMENT SECTOR has seen a lot of activity in the past couple of years. Deal flow has been unprecedented, with the latest being UltraTech Cement picking up a stake in India Cements. The Kumar Mangalam Birla-promoted UltraTech, the largest cement maker of the country with an installed capacity of close to 150 million tonnes per annum (mtpa), picked up a 23% stake in the Chennai-based India Cements-led by N. Srinivasan, who is a former president of the Board of Control for Cricket in India (BCCI)-for ₹1,900 crore. UltraTech has made it clear that this is a "non-controlling financial investment", while it has been reported that the stake was bought from DMart Founder Radhakishan Damani and his associates.

DOUBLING CAPACITY

UltraTech Cement picked up a stake in India Cements, which, along with its earlier acquisition of Kesoram Industries, will more than double its capacity in south India