Displaying items by tag: Ambuja Cements
India: Ambuja Cements' parent company Adani Group says that the cement producer aims to more than double its sales to US$8.5bn in 2028. Ambuja Cements currently expects to record sales of US$3.61bn in 2023. It is targeting an earnings before interest, taxation, depreciation and amortisation (EBITDA) margin of 25% in 2028. Its EBITDA margin averaged 19% in the period from 2020 to 2022.
Dow Jones Institutional News has reported that Ambuja Cements' internal accruals are sufficient to fund US$5.58bn in capital expenditure (CAPEX) over the same period, according to the company. It says that it plans to double its capacity through CAPEX investments before 2028.
Adani Cement wins four safety awards
14 March 2023India: Adani Cement has won four awards at the Occupational Health, Safety and Sustainability Association of India (OHSSAI) Awards 2023. The producer won two manufacturing sector awards - the OHSSAAI Safety Silver Award and the OHSSAI Road Safety Gold Award - and two individual awards. The individual awards went to Ambuja Cements' chief operating officer Sukuru Ramarao, who won the Health, Safety and Environment (HSE) Leadership Award, and Ambuja Cements' head of safety, manufacturing and logistics Pankaj Singh, who won the HSE Mentor of the Year Award for his contributions to road safety.
Adani Cement CEO Ajay Kapur said "We are proud to be recognised by OHSSAI for our safety achievements. Safety is an integral part of our overall business strategy, and we are committed to continually improving our safety performance and achieving excellence in all areas of our operations. Safety is everyone's responsibility, and we are committed to maintaining a safe and healthy workplace for our employees."
Adani Group seeks sale of 4 - 5% Ambuja Cements stake
13 March 2023India: Adani Group has entered talks with lenders for the sale of a 4 - 5% stake in Ambuja Cements. Adani holds a 63% stake in the producer, which it acquired from Switzerland-based Holcim in 2022. The Financial Times newspaper has reported that the move is intended to reduce debt and restore investor confidence in Adani Group.
The Hindu Business Line newspaper has named US-based asset management company GQG Partners as a probable buyer for the stake.
US-based short seller Hindenburg Research alleged fraud and stock market manipulation by Adani Group in a report published on 24 January 2023.
India: Adani Group told investors that it repaid a US$500m bridge loan for its acquisition of ACC and Ambuja Cements on 7 March 2023. The deal was completed in September 2022, and payment on the loan was due by 9 March 2023 at the latest. UK-based Barclays and Standard Chartered and Germany-based Deutsche Bank underwrote the loan.
Business Today Online News has reported that Adani Group is seeking to pre-pay its loans in order to allay investor concerns about its debt.
Adani Group to build two cement plants in Andhra Pradesh
03 March 2023India: Adani Group is planning to build two new cement plants in Andhra Pradesh with a combined production capacity of 10Mt/yr. Karan Adani, the son of the group’s founder Gautam Adani, made the announcement, among a slate of new investments being developed for the state, according to Business Today. At present the group does not have any cement production plants in Andhra Pradesh, although it does operate two ports at Krishnapatnam and Gangavaram respectively. The other projects include renewable power units with a capacity of 15,000MW and data centres.
Arindam Acharya appointed as technical head at Star Cement
22 February 2023India: Star Cement has appointed Arindam Acharya as its technical head based at Guwahati in Assam. He was worked in the cement sector for over 15 years, mostly recently holding the post of Assistant General Manager at Dalmia Cement (Bharat). Prior to this he has worked for The Ramco Cements, Ambuja Cements and UltraTech Cement. Achary holds qualification from Shivaji University and the Indian Institute of Management in Kolkata.
Adani Group to reopen Darlaghat and Gagal cement plants
21 February 2023India: The state government of Himachal Pradesh has announced the forthcoming reopening of Adani Group's Darlaghat and Gagal cement plants. Reuters has reported that truck drivers' unions agreed to a reduced freight rate offered by Adani Group. The producer shut the plants on 15 December 2022, claiming that it faced prohibitively high operating costs, including high freight charges.
Truck drivers will now receive rates of US$0.12/t/km for despatches in small delivery trucks and US$0.11/t/km for dispatches in articulated trucks. Drivers operating at the Darlaghat cement plant previously earned fees of US$0.13/t/km, while those operating at the Gagal cement plant had earned fees of US$0.14/t/km. Adani Group had reportedly sort to lower rates to US$0.07/t/km. Unions have criticised the newly negotiated rates, pointing out the UltraTech Cement recently raised the wages of drivers at its Baga cement plant in the state to US$0.13/t/km.
India: Adani Group is in talks with lenders to repay a US$500m bridging loan facility it used to buy controlling stakes in ACC and Ambuja Cements in 2022. Adani is looking to repay the loan with cash during February 2023, according to the Economic Times. The loan was underwritten by Barclays, Deutsche Bank and Standard Chartered. The financial consortium lending to Adani also includes DBS, MUFG, Sumitomo Mitsui Banking Corp, First Abu Dhabi Bank, Intesa and Mizuho.
The Economic Times’ report comes a day after the group said its companies face no material refinancing risk or near-term liquidity issues, in its latest attempt to calm investors spooked by Hindenburg Research’s critical report on its business practices.
India: The state government of Himachal Pradesh says that it will take 'legal action' against Adani Group should it fail to reopen its Darlaghat and Gagal cement plants. The Times of India newspaper has reported that measures may include cancellation of the cement producer's relevant land leases. Out-of-work truck drivers agreed to cancel a state-wide road blockade in protest against the closures after the government promised a 'resolution' on 4 February 2022. It now plans to hold talks with Adani Group, in which it will relay truck drivers' offer of an 11% reduction in per-kilometre freight rates to US$0.12/t from US$0.14/t.
Himachal Pradesh industries minister Harshwardhan Chauhan said that the state government is empowered to take drastic measures in defence of Himachali people's interests.
Geological Survey of India (GSI) officials are reportedly investigating alleged illegal mining at the sites of the Darlaghat and Gagal cement plants.
India: Police arrested 50 truck drivers and union leaders at protests outside Ambuja Cements’ Darlaghat cement plant in Himachal Pradesh on 1 February 2023. The events marked the 50th day of on-going protests against Adani Group’s closure of the Darlaghat and Gagal cement plant following its acquisition of Ambuja Cements and ACC in September 2022. The Times of India newspaper has reported that cement truck driver’s unions are now threatening to escalate the protests to a ‘chakka jam’ demonstration across Himachal Pradesh. This would involve blocking roads at five planned locations in the state. Union representatives will meet Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu on 3 February 2022. Sukhu has repeatedly expressed support for protestors, saying that the state will not tolerate exploitation.
United News of India has reported that protestors on 1 February 2023 voiced criticism of Indian ‘lawlessness’ and of Adani Group and Prime Minister Narendra Modi’s Bharatiya Janata Party’s (BJP) power ‘monopoly’ in the country.