Dalmia Bharat to acquire debt-ridden JAL’s cement assets for Rs 28.50 billion

Dalmia Bharat will acquire the cement assets of debt-ridden JAL, which has been acquired by Adani Enterprises through insolvency proceedings. Dalmia Cement (Bharat) Limited (DCBL), a wholly owned subsidiary of Dalmia Bharat, has already executed a business transfer agreement (BTA) with JAL for the transaction, which is expected to be completed within two weeks. Following the takeover, Dalmia Bharat’s cement capacity will increase to 54.7 million tonnes per annum (mtpa). The BTA has been signed for acquisition of cement plants at Rewa (Madhya Pradesh), Churk, Chunar and Sadwa (Uttar Pradesh), with 5.2 mtpa cement capacity and 3.3 mtpa clinker capacity, at an enterprise value of Rs 28.5 billion. Besides, the acquired assets entail 99 MW of thermal power capacity with railway siding.