Dalmia Cement (Bharat) has increased its stake in OCL India to 45.4 per cent from 21.7 per cent via interse transfer for $50 per tonne in an all cash deal at the ruling market price.
With this acquisition, Dalmia Cement has become a two region player - south and east. The combined cement capacity of Dalmia Cement and OCL India will now stand at 14.3 million tonnes across south and east India.
Puneet Dalmia, managing director, Dalmia Cement said, "We now have an access to the high growth eastern market. With this strategic investment, our profitability is likely to improve further."
The acquisition of OCL is much below the replacement cost for a cement plant and is at the enterprise value of OCL without assigning any value to its refactory business.
Currently, Dalmia Cement has a capacity of 9 million tonnes and OCL India has 5.3 million tonnes of capacity.
