Ambuja Cements of India said it has acquired 85 per cent stake in Dang Cement Industries for Rs 191.3 million.
In a stock exchange filing, the Indian cement maker said it was also in the process to acquire an additional five per cent stake for Rs 11.3 million.
Dang Cement Industries holds limestone mining lease as limestone is a key raw material for manufacturing of cement.
"At present, the company (Dang) is not carrying out any business activity," the Ambuja statement read. With the acquisition, Dang Cement Industries has become an Ambuja subsidiary.
Swiss major Holcim holds more than 50 per cent stake in Ambuja Cements. The global cement major had in 2006 acquired the management control of Ambuja Cements India, founded by Narotam Sekhsaria in 1983 with a partner, Suresh Neotia.
Ambuja Cements currently has 25 million tonne per annum capacity and is in the process of taking it to 27 million tonne within this year.
Holcim also holds majority stake in ACC, which has 27 million tonne installed capacity now. ACC is also increasing its capacity to 30 million tonne.
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