A consortium comprising Dalmia Bharat and Bain Piramal Resurgence Fund has emerged at the preferred bidder for the bankrupt Binani Cement, beating Aditya Birla Group’s UltraTech Cement.
The Dalmia-led consortium is reported to have bid around INR67 billion for Binani Cement, including INR63.1 billion to repay creditors and INR4 billion of capital for the running of the company.
Although similar, UltraTech’s bid appears to have been edged out because on concerns around past penalties levied on the company by the Competition Commission of India, local media reported.
According to its website, Binani Cement owns integrated cement plants in Rajasthan, India, and in Shandong, China, as well as grinding units in Dubai. Globally, the company has capacity of 11.25 million tpy.
Dalmia Cement currently controls capacity of 25 million tpy, including three integrated cement plants in the southern states of Tamil Nadu and Andhra Pradesh.
It also holds a majority stake in OCL India, a cement producer in the east of the country, and has recently acquired Kalyanpur Cement out of bankruptcy, the only cement producer in the state of Bihar in the northeast of the country.
Read the article online at: https://www.worldcement.com/indian-subcontinent/01032018/dalmia-led-consortium-likely-buyer-of-binani-cement/