Adani Family Boosts Ambuja Cements with INR 20,000 Cr Infusion

In a significant stride towards fortifying its position in the cement and building materials sector, Ambuja Cements Ltd, a flagship company under the Adani portfolio, has announced a substantial investment by the Adani family. With a fully subscribed warrants program totaling an infusion of INR 20,000 crore, the Adani family has increased their stake in Ambuja Cements to 70.3%.

This latest move underscoring Adani family’s commitment to bolster the future prospects and potential of the cement vertical, follows previous investments of INR 5,000 crore on October 18, 2022, and INR 6,661 crore on March 28, 2024.

This move further reinforces Adani family’s confidence in Ambuja's growth trajectory and strategic vision.

Ajay Kapur, Whole Time Director and CEO of Ambuja Cements Ltd, expressed enthusiasm about the completion of the Adani family's primary infusion, stating, "This infusion of funds provides Ambuja with capital flexibility for fast-tracked growth, capital management initiatives, and best-in-class balance sheet strength." He emphasized that this investment not only reflects belief in Ambuja's business model but also reaffirms their commitment to delivering long-term sustainable value creation to stakeholders.

The funds injected into Ambuja Cements will play a pivotal role in enhancing the company's financial position, enabling it to pursue ambitious growth plans and capitalize on emerging opportunities in the market. 

With a focus on achieving a capacity of 140 million tonnes per annum by 2028, Ambuja aims to drive innovation, enhance operational performance, and bring efficiencies across resources and supply chain management.

Furthermore, the investment will facilitate various strategic initiatives, including debottlenecking capex, technology integration for product enhancement, and tapping into the growing requirements of the sector driven by India's economic expansion.

Barclays Bank PLC, MUFG Bank, Mizuho Bank, and Standard Chartered Bank acted as advisors for the transaction, reflecting the scale and significance of the investment.

Ambuja Cements Limited, a member of the Adani Group, has established itself as one of India's leading cement companies, with a total capacity of 78.9 MTPA through its subsidiaries ACC Ltd. and Sanghi Industries Ltd. The company's commitment to sustainable practices and innovative solutions has earned it accolades such as being recognized as India's Most Trusted Cement Brand and an Iconic Brand of India.

Through its unique sustainable development projects and environment-friendly practices, Ambuja Cements has consistently provided hassle-free home-building solutions to its customers. The company's innovative products, including Ambuja Cement, Ambuja Plus, Ambuja Compocem, and Ambuja Kawach, not only meet customer needs but also contribute to reducing carbon footprints.

With its focus on sustainable business practices and inclusive growth, Ambuja Cements continues to set benchmarks in the cement industry, further solidifying its position as a frontrunner in the sector.

The Adani family's continued investment in Ambuja Cements reaffirms their commitment to driving growth, innovation, and sustainability in the cement industry, paving the way for a promising future for the company and its stakeholders.