Expansion, acquisitions and market domination

The Adani Group, India’s second largest cement manufacturer, is increasing its market presence through strategic acquisitions and expansion. On Friday, the conglomerate announced the acquisition of Hyderabad-based Penna Cement for Rs 10,422 crore. This move not only strengthens its presence in South India but also re-enters the Sri Lankan market.

Ajay Kapur, CEO and whole-time director of Ambuja Cements, in a conference call with investors described the acquisition as an important milestone. He stressed that the transaction strengthens Adani’s southern strategy and its continued expansion in brownfields, bringing the company closer to its capacity target of 140 MTPA.

Ambuja Cement previously operated in Sri Lanka before the ownership changes brought about by the Holcim acquisition. Now, under Adani, Ambuja is set to regain its market share in Sri Lanka. The Adani Group, which already has a strong presence with assets in south India, is preparing to expand its production capacity by 20% through the acquisition of Penna Cement.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)