Ambuja Cements Greenlights Merger with Orient Cement: A Mega Move in India’s Cement Sector

Updated: December 22, 2025 22:53

Image Source: NDTV Profit

Ambuja Cements Limited has approved the amalgamation of its subsidiary Orient Cement Limited, aiming to unify operations, boost efficiency, and unlock synergies. The deal, subject to regulatory approvals, will see Orient Cement’s shareholders receive 33 Ambuja shares for every 100 Orient shares held. Both companies are part of the Adani Group, and the merger is expected to strengthen Ambuja’s market position and operational agility.

Ambuja Cements Limited announced on December 22, 2025, that its Board of Directors has approved the Scheme of Amalgamation with Orient Cement Limited. This marks a significant step in consolidating the Adani Group’s cement operations, bringing together two major players under one umbrella. The amalgamation is subject to statutory and regulatory approvals, including from the National Company Law Tribunal.

Orient Cement, a subsidiary of Ambuja, reported a standalone revenue of ₹2,708.83 crore and net worth of ₹1,807.91 crore for FY2024-25. Ambuja Cement, on the other hand, posted a standalone revenue of ₹19,453.58 crore and net worth of ₹48,605.65 crore for the same period. Both entities operate in the cement manufacturing space, with Ambuja being one of India’s leading cement producers.

The rationale for the merger is clear: combining operations will enable Ambuja to assume full ownership and direction of Orient Cement, driving focused growth, operational efficiencies, and significant business synergies. The move is also expected to unify manufacturing and commercial functions, optimize resource allocation, and streamline the group’s structure.

Key Highlights

The amalgamation will see Orient Cement’s equity shareholders receive 33 Ambuja shares for every 100 Orient shares held, with no cash consideration involved.
The transaction is a related party deal, but the share exchange ratio is based on a joint valuation report by GT Valuation Advisors and BDO Valuation Advisory LLP, with a fairness opinion provided by SBI Capital Markets.
Both Orient and Ambuja Cement are part of the Adani Group, and the merger will enhance the group’s overall business ecosystem.
The merger is expected to unlock economies of scale, boost profitability, and strengthen competitiveness in the Indian cement sector.
Regulatory approvals, including from the National Company Law Tribunal, are required before the scheme becomes effective.

Sources : Ambuja Cements Limited Corporate Announcement, NSE/BSE Corporate Filings, Adani Group Official Releases

Stay Ahead – Explore Now! Dev Information Technology Withdraws Preferential Share Issue Plan