According to local press reports, Dalmia Cement has purchased the remaining 26% stake in Bokaro Jaypee Cement Ltd (BoJCL) from Steel Authority of India Ltd (SAIL) for approximately Rs.234.56 crore. The stake was reportedly acquired through Shri Rangam Securities & Holdings, an indirect wholly owned subsidiary of Dalmia Cement.
At the same time, Dalmia has also completed the previously announced deal to buy Jaiprakash Associates' 74% share in the company for a price of around Rs.667.56 crore (BoJCL was formed as a 74:26 JV between Jaiprakash Associates and SAIL). With these transactions, BoJCL has become a wholly owned subsidiary of Dalmia Cement.
BoJCL, located in the state of Jharkhand in eastern India, has a cement production capacity of 2.1 million tpa. The acquisition will increase Dalmia Cement’s current installed cement capacity to 21 million tpa.
Edited from various sources by Rosalie Starling
Read the article online at: https://www.worldcement.com/asia-pacific-rim/01122014/dalmia-acquires-remaining-stake-in-bokaro-jaypee-cement-927/