Kolkata, Aug 17: The M.P. Birla group on Monday said it had been getting the cement business of Lafarge Bharat for Rs.5,000 crore through a mixture of internal accruals and recent debt to feature another 5.5 million tonnes in annual capability.
The deal, to be executed by Birla corp and its subsidiaries, entails the acquisition of Sonadih cement plant in Chhattisgarh, the grinding unit at Jajobera in Jharkhand, as conjointly the Concreto and PSC brands of Lafarge Bharat, the corporate said in a regulative filing.
Birla Corp, established in 1919 and with units in Rajasthan, Madhya Pradesh, Uttar Pradesh and West Bengal, has a current capability of ten million tonnes per year. The deal, once executed, would create it fifteen million tonnes.
The France-based Lafarge, that itself entered Bharat in 1999 by getting the cement business of Tata Steel, also has units in Rajasthan, Haryana and West Bengal. Its total cement production capability within the Indian market is presently around eleven million tonnes.
