The board of Ambuja Cements, part of the Adani Group, has approved the merger of its subsidiaries ACC Ltd and Orient Cement into Ambuja Cements, paving the way for a pan-India cement major.
According to the company, the amalgamation is expected to drive operational efficiencies, streamline manufacturing and logistics, and improve capital allocation. These gains are likely to enhance profitability, support future capacity expansion, and strengthen long-term shareholder value.
The merger will also rationalise branding, sales, and promotional expenses, helping cut costs and improve margins by at least Rs 100 per metric tonne. By removing overlapping structures, the consolidation will reduce administrative expenses and allow quicker, more efficient decision-making.
Following the merger, no separate master service agreements will be required with ACC, Orient, Penna, or Sanghi, as all will become integral parts of Ambuja Cements.
Under the proposed share swap, Ambuja Cements will issue 328 equity shares of Rs 2 each for every 100 ACC shares of Rs 10 each held by eligible shareholders. For Orient Cement, shareholders will receive 33 equity shares of Rs 2 each for every 100 shares of Re 1 each.
