Adani Group is in advanced talks to acquire Ambuja Cements, the Indian business of Holcim Limited, according to people familiar with the matter. The conglomerate, led by Gautam Adani, is expected to reach an agreement with Holcim in the coming days to buy a controlling stake in Ambuja, the sources said, who asked not to be identified because the information is private. Other bidders, including JSW Group, remain interested in the assets, they said.

Shares of Ambuja rose about 26 per cent in April, giving it a market value of about $10 billion. According to Bloomberg, Holcim, which controls a 63.1 per cent stake in the company, has been considering selling its stake. Ambuja’s subsidiaries include ACC Ltd, which is also publicly traded.

Holcim has been selling non-core assets of late, divesting its Brazil unit for $1 billion in September, and plans to sell its Zimbabwe business. “India’s cement producers face stiff competition and fluctuating fuel costs, which hinder sustainable, stable profits. This makes the country’s fragmented cement industry fertile ground for a long-term reshuffle,” Bloomberg Intelligence quoted senior Words from analyst Sonia Valdera.

Founded in 1983, Ambuja has six integrated manufacturing plants and eight cement grinding plants in India, with an annual production capacity of 31 million tonnes, according to the company’s website. Adani Enterprises Ltd, the flagship of the Adani Group, has two cement subsidiaries. According to a November compliance report, Adani Cementation Ltd plans to build a complex in Gujarat. The group established Adani Cement Ltd in June 2021.