India’s largest cement producer, UltraTech Cement, is in talks to purchase an incomplete 6.7Mta cement plant in Gujarat owned by the ABG Cement group, the Economic Times of India reports.
“Executives of both UltraTech Cement and ABG had three rounds of negotiations,” a source told the local daily.
According to the report, Axis Capital, the investment banking arm of Axis Bank, is advising UltraTech. “We had some discussions in the past," a senior ABG official said.
"The company is keen to complete the plant and grow its cement business." UltraTech has offered around INR4660 crore at US$130/t while ABG is believed to be asking for INR5008 crore at US$156/t,” the source added.