Dalmia Bharat Limited has executed a definitive Business Transfer Agreement to acquire a 5.2 MnTPA cement capacity from Jaiprakash Associates Limited. Valued at an Enterprise Value of Rs 2,850 Cr, the deal includes cement plants in Madhya Pradesh and Uttar Pradesh, along with 99 MW of thermal power capacity. This strategic move aims to accelerate the company’s goal of becoming a pan-India cement player with enhanced EBITDA delivery.
Strategic Asset Acquisition
Dalmia Cement (Bharat) Limited, a subsidiary of Dalmia Bharat, has finalized a deal to acquire a significant 5.2 MnTPA cement capacity and 3.3 MnTPA clinker capacity. The acquisition includes key plants located in Rewa (Madhya Pradesh), as well as Churk, Chunar, and Sadwa (Uttar Pradesh). The transaction is valued at an Enterprise Value of Rs 2,850 Cr and provides the company with critical infrastructure, including 99 MW of thermal power and strategic railway sidings.
Capacity Expansion and Market Impact
Following the successful completion of this transaction, expected within two weeks, Dalmia Bharat’s total capacity will rise to 54.7 MnTPA. This is further supported by ongoing expansion projects in Belgaum, Pune, and Kadapa, which are projected to push total capacity to 66.7 MnTPA by Q2–Q3 FY28. This expansion provides a faster entry into the high-potential Central Indian market compared to building new greenfield projects.
Leadership Perspective
Mr. Puneet Dalmia, Managing Director & CEO of Dalmia Bharat Limited, highlighted the strategic value of the assets, noting that their proximity to existing captive mines will create a robust capacity hub. He emphasized that the company’s prior familiarity with these facilities will allow for a faster ramp-up and stronger integration with existing channel partners and vendors. The move is designed to maximize value creation for stakeholders by leveraging Dalmia’s proven cost leadership and operational expertise.
Source: BSE
