Holcim plans to invest additional funds in India

Holcim plans to invest additional funds in India
Published: 04 February 2005

Holcim plans to invest additional US$1bn in India over 5-7 years Business Standard reported, quoting a senior executive of Gujarat Ambuja Cement Ltd. This investment is in addition to Holcim’s investment of US$800m for acquiring a 67 per cent stake in Ambuja Cement India Ltd (ACIL), the closely held investment firm that owns 13.8 per cent of Associated Cement Co (ACC), and to scale up its holding in ACC to 50 per cent, it said. Business Standard quoted GACL Executive Director Anil Singhvi as saying that GACL will partner Holcim in all future forays by the Swiss firm in the cement sector in India. The partnership is, however, not binding on GACL.  According to the shareholders’ agreement signed between GACL and Holcim, GACL can go solo for any acquisition if it wishes, while Holcim will always route its acquisition through ACIL in which GACL will continue to hold 33 per cent stake, the report said.