A day after announcing its $10.5 billion takeover of Holcim’s Indian business, the Adani family made a public offer to buy 26 percent each of its two listed companies, Ambuja Cements and ACC Ltd, from public shareholders for $6.5 billion.
On Monday, Gautam Adani’s group, through its Mauritius-based subsidiary Endeavor Trade and Investment, made a public offer of Rs 385 per share for Ambuja Cements Ltd and Rs 2,300 per share for ACC Ltd.
For Ambuja Cements, Adani Group has made an open offer to its public shareholders of up to 516.3 million shares, representing 26% of the enlarged share capital, for a total consideration of Rs 19,879.57 crore.
For ACC Ltd, Adani Group has offered to acquire up to 48.9 crore shares held by public shareholders, representing 26% of the enlarged share capital, for a total consideration of Rs 11,259.97 crore.
It said this would be “subject to receipt of the required statutory approvals”.
The announcement was made jointly by ICICI Securities and Deutsche Equities India, co-managers of the exchange’s public offering.
The public offering was triggered after Adani Group entered into a share purchase agreement with Holcim to acquire a controlling stake in the latter’s business in India “for an aggregate consideration equivalent to Rs 50,181.04 crore”.
Acropolis Trade and Investment Ltd is committed to promoting trade and investment.
“The ultimate beneficial ownership of Acropolis Trade and Investment Ltd is held by certain members of the Adani family,” the notice said.
On Sunday, Adani Group announced the acquisition of a controlling stake in Holcim Ltd’s Indian business for US$10.5 billion (approximately Rs 81,300 crore), marking the port energy group’s foray into the cement industry.
Adani Group will acquire a 63.1% stake in Ambuja Cements Ltd and related assets. Ambuja’s local subsidiaries include ACC Ltd, which is also publicly traded.
“The Adani family, through an offshore special purpose vehicle, announced that it has entered into definitive agreements to acquire the entire shares of Switzerland-based Holcim Ltd in two of India’s leading cement companies, Ambuja Cements Ltd and ACC Ltd,” the group said in a statement. in a statement.
Holcim, through its subsidiaries, holds 63.19% of Ambuja Cements and 54.53% of ACC (of which 50.05% is held through Ambuja Cements).
“The corresponding offer price for Ambuja Cement is Rs 385 and the corresponding offer for ACC is Rs 2,300, which translates into a cash gain of 6.4 billion Swiss francs (CHF) for Holcim,” Holcim said in a statement.
Last month, Holcim, the world’s largest cement maker, announced it was pulling out of the country after struggling here for a long time.
Ambuja Cements and ACC currently have a combined installed capacity of 70 million tonnes per annum.
Together, the two companies have 23 cement plants, 14 grinding plants, 80 ready-mix concrete plants, and more than 50,000 channel partners in India.