ACC says India cement sector may see consolidation

ACC says India cement sector may see consolidation
Published: 18 March 2009

ACC Ltd expect there could be a round of industry consolidation if slowing demand and excess capacity push cement prices down, a top official told Reuters.

ACC, 46 percent owned by Holcim is open to acquisitions and expects the world’s second-largest cement market will attract attention from global players such as Lafarge, Cemex and HeidelbergCement.

"If cement prices actually go down, some of the producers will suffer cash losses. So they may look to get into strategic partnerships or maybe sell out," J. DattaGupta, ACC’s head of commercial services, said in an interview.

"Many of these companies will be looking out. We would all love to (acquire), given the right price."