Ambuja Cements Ltd, which is controlled by Swedish cement maker Holcim, has expanded in the South Asia region with acquisition of an 85% stake in Nepal's Dang Cement Industries Pvt. Ltd. Ambuja Cement will pay Rs 19.13 crore for the stake in Dang, which will become its subsidiary.
The share price of Ambuja Cements closed at Rs 142.2, down marginally by 0.11%. The acquisition was announced after trading stopped for the day.
Ambuja Cements is also in the process of acquiring further 5% equity for a consideration of Rs 1.13 crore, valuing the company over Rs 22 crore.
Ambuja Cements said in a statement that Dang holds limestone mining lease in Nepal and at present is not carrying out any business activity. Ambuja Cements was acquired by global cement major Holcim (which also owns ACC in India) in 2006 and has a cement capacity of about 25 million tonnes.