Ambuja Cements to merge Orient Cement; announces share swap for ACC

Ambuja Cements, part of the Adani Group, has approved the merger of its subsidiary Orient Cement with itself, offering shareholders 33 Ambuja shares for every 100 Orient Cement shares held. | Photo Credit:

Ambuja Cements, an Adani Group company, has decided to merge its subsidiary Orient Cement with itself and issue 33 shares for every 100 shares held by investors. Similarly, for every 100 equity shares of ACC with a face value of ₹10 each, Ambuja will issue 328 equity shares with a face value of ₹2 each to eligible shareholders of ACC.

Ambuja Cements holds 72.66 per cent in Orient Cement.

Strategic alignment

As both companies operate in the same line of business, the amalgamation will enable Ambuja Cements to assume complete ownership and direction of Orient Cement’s business to achieve long-term strategic alignment.

Operational synergies

The proposed amalgamation will combine the operations of both companies, driving focused growth, operational efficiencies, and significant business synergies, it said. Furthermore, the resulting corporate structure will enhance agility and strengthen the overall business ecosystem of the merged entity, it added.

The amalgamation will unify manufacturing and commercial functions, optimize resource allocation, and streamline the group’s structure by consolidating multiple entities within the same line of business, Ambuja Cement said.

This integration will enable faster decision-making, smoother execution of production plans, and stronger operational discipline, thereby enhancing agility and efficiency across the combined network, Ambuja Cements said.

Economies of scale

By pooling financial, operational, and logistical resources, the merged entity will unlock economies of scale. Coupled with a unified market approach and efficient capital deployment, these synergies will boost profitability, strengthen competitiveness, and deliver superior long-term value and benefits to shareholders and other stakeholders, it added.

Ambuja Cements has also proposed merging two other subsidiaries, Sanghi Industries and Penna Cement, with itself late last year.

Published on December 22, 2025