UltraTech Cement Faces CCI Scrutiny Over India Cements Acquisition

UltraTech Cement has received a notice from the Competition Commission of India (CCI) regarding its proposed acquisition of India Cements Ltd. UltraTech is confident in its case's merits. The acquisition aims to strengthen its presence in the competitive southern cement market, particularly in Tamil Nadu.

UltraTech Cement, a leading player in the Indian cement industry, is under examination by the Competition Commission of India (CCI) concerning its intended acquisition of India Cements Ltd.

In a recent filing, UltraTech expressed confidence in the merits of its acquisition proposal. The company reassured that it would respond to the CCI's notice, issued under Section 29 (1) of the Competition Act, 2002. The firm emphasizes the strategic expansion into India's southern cement market, marked by high competition and a plethora of grey cement producers.

This move follows UltraTech's July announcement of acquiring a 32.72% stake in India Cements, alongside a public offer to acquire an additional 26%. As competitive pressures mount, both UltraTech and Adani Group are aggressively scaling capacities, with UltraTech aiming for 200 MTPA by FY27.

(With inputs from agencies.)