UltraTech set to become world's 9th largest cement firm

UltraTech Cement today said with the merger of Samruddhi and acquisition of ETA Star Cement, its manufacturing capacity will touch 52 million tonnes per annum (MTPA) making it the ninth largest cement firm in the world.

"With the amalgamation of Samruddhi and the acquisition of ETA Star Cement in the UAE, our cement manufacturing capacity will stand augmented to 52 MTPA, making us the 9th largest cement company in the world," Aditya Birla Group firm UltraTech Cement's Chairman Kumar Mangalam Birla told shareholders here today.

As a part of the consolidation process, the cement business of Grasim Industries, the company's holding firm, was demerged into a separate entity -- Samruddhi Cement, which is now amalgamated with the company. The appointed date of the scheme of amalgamation is July 1 and it will be rendered effective from August 1, Birla said.

The company's board also approved the acquisition of ETA Star Cement Company LLC, Dubai, together with its operations in the UAE, Bahrain and Bangladesh. This has been done through its wholly-owned subsidiary in Dubai.

"The acquisition is expected to be completed shortly. It gives us a foothold in the Middle East. It is also in line with our group's long-term strategy of expanding our global presence across businesses," Birla said.