Mumbai, 28th February, 2016: UltraTech Cement Limited has today entered into a binding Memorandum of Understanding with Jaiprakash Associates Limited for the acquisition of its identified Cement plants having total cement capacity of 22.4 mtpa (including a 4 mtpa plant under implementation at a cost of Rs. 470 crores) situated in the states of Madhya Pradesh; Uttar Pradesh; Himachal Pradesh; Uttarakhand; Andhra Pradesh and Karnataka.
The assets will give the Company access to the newer markets of Satna, UP East, Himachal Pradesh and Coastal Andhra where it does not have a presence as of now. Upon consummation of the proposed transaction the Company’s cement capacity will stand augmented to 90.7 mtpa (current 68.3 mtpa). The parties have agreed to an Enterprise Value of Rs.16,500 crores (rupees sixteen thousand five hundred crores only).
The transaction is subject to definitive agreements and regulatory approvals as may be required.
