Adani family infuses ₹8,339 cr more in Ambuja Cements

Adani family has infused ₹8,339 crore in Ambuja Cements to increase their stake by 3.6 per cent to 70.3 per cent.

The investment is part of warrants issued to the promoters when the company was acquired from the Holcim Group.

In all, the promoters have infused ₹20,000 crore by converting warrants into equity in the company. In 2022, the promoter family invested ₹5,000 crore and another ₹6,661 crore was pumped in March.

• Also read: LIC sees 59% jump in value of investments in Adani stocks

The additional investment will fortify the company’s financial position, providing it with enhanced capabilities to pursue its growth plans and capitalise on emerging opportunities in the market, said Ambuja Cements in a statement on Wednesday.

The Adani Group plans to enhance cement production capacity to 140 million tonnes per annum by 2028. The investment will also enable various strategic initiatives including debottlenecking capex to enhance operational performance, as well as bringing efficiencies across resources and supply chain, it said.

The Group has drawn plans to drive innovation and product enhancement through advanced technology integration for better service offerings to tap the growing requirements of the sector driven by the growth in the Indian economy, the company added.

• Also read: Adani Group’s Ambuja Cements to acquire My Home Group’s cement grinding unit in Tuticorin

Ajay Kapur, Whole Time Director and CEO, Ambuja Cements said the infusion of ₹20,000 crore by the promoters provide Ambuja the capital flexibility to fast-track growth, capital management initiatives and achieve balance sheet strength.

The fund infusion will propel the company to setting new benchmarks by accelerating growth and continue to deliver on operational excellence, business synergies and cost leadership, he said.

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