Cimentos de Portugal said Tuesday it had signed a binding agreement with Grasim Industries to acquire a 53.64 per cent stake in Shree Digvijay Cement, a company listed in the Bombay Stock Exchange.
Under Indian stock market rules, Cimpor will launch a public offer for a further 20 per cent of Shree Digvijay. Cimpor said the sale price of 42.50 Indian rupees per share values the company at €117m.
Shree Digvijay is based in the state of Gujarta. It expects sales this year of 1Mt of cement, with a turnover of €50m. India is now the second biggest cement market in the world.