Nirma, a small, regional cement player in the country, trumped far bigger rivals to bag LafargeHolcim’s 11 million tonnes per annum India portfolio, one of the most prized in the country.
LafargeHolcim entered into an agreement with Nirma Ltd. subject to approval by the Competition Commission of India (CCI) for the divestment of its interest in Lafarge India for an enterprise value of approximately $1.4 billion. Lafarge India operates three cement plants and two grinding stations with a total capacity of around 11 million tonnes per annum.
Eric Olsen, CEO, said: “This agreement is an important step in our CHF 3.5 billion divestment program. With this deal, two thirds of the program has been secured and the remainder of the program is well on track. We are confident that we will meet our target by the end of this year. With the proposed buyer we have found the right partner who will be able to develop the business further in the interest of all our stakeholders.”