Nirma Ltd. is all set to take possession of Lafarge-Holcim Ltd. India segment worth at $1.4 billion. The company happens to be world’s largest cement maker which operates three cement plants and two grinding stations in India. It has a whopping capacity of 11 million tonnes on an annual basis. The following company aggregates the market as being the country’s leading ready-mix concrete manufacturer.
According to the statement given by the corporation, LafargeHolcim announces it has entered into a letter agreement with Nirma Ltd. For the divestment of its interest in Lafarge India for an enterprise value of approximately USD 1.4 billion. The proceeds from the divestment will be used to reduce debt further.
Although, Lafarge India would continue working in the country through its subsidiaries ACC and Ambuja Cement Ltd. The respective companies deliver 60 million tonnes combined cement capacity evenly distributed vastly throughout the globe. The divestment program will help accumulate 3.56 billion USD in hand. Further, it will assist in securing two/third of the plan in the remainder. The respective cement giants are all set to meet their target by the end of this year.
Lafarge India is all excited to have perfect partners as Nirma Ltd. which will enhance the business in all varied sectors. Although a final nod is still to be given by Competition Commission of India, the respective Swiss conglomerate is completely interested in increasing stakeholders too.
Lafarge-Holcim Ltd. have already completed its sale procedure in Saudi Arabia thus divesting its stakes in the country. It has a divestment target of 3.5 billoin Swiss francs.