Nuvoco Vistas Corp. Ltd., India’s fifth-largest cement business, has acquired Vadraj Cement Limited assets, increasing production capacity, geographic reach, and operational efficiency, hence boosting its position in India’s competitive cement sector.

Nuvoco Vistas Corp. Ltd., India’s fifth-largest cement conglomerate and a major participant in East India, has been appointed as the SRA of Vadraj Cement Limited (VCL), now undergoing the Corporate Insolvency Resolution Process. The Committee of Creditors (‘CoC’) has accepted Nuvoco’s Resolution Plan and issued a Letter of Intent (LOI).

Vanya Corporation Private Limited, Nuvoco Vistas Corp. Ltd.’s wholly owned subsidiary, will carry out the transaction. Nuvoco expects to finance the deal without significantly increasing its combined debt levels. A 15-month phased investment will be made to modernise assets and drive operational improvements across all VCL sites. The expected start date for production is in Q3 FY27, subject to the Hon’ble National Company Law Tribunal (NCLT) approvals for the Resolution Plan.

The Company anticipates considerable benefits from this transaction. The current facilities comprise a 3.5 MMTPA (~10,000 TPD) clinker unit in Kutch, Gujarat, and a 6 MMTPA grinding mill in Surat, Gujarat.

VCL also possesses high-quality limestone reserves, which ensures a continuous and sustainable supply of raw materials for future production. The captive jetty in Kutch improves logistical efficiency. With this transaction, Nuvoco’s total cement production capacity is expected to expand to around 31 MMTPA, divided as 19 MMTPA in the East, 6 MMTPA in the North, and 6 MMTPA in the West, cementing its position as India’s fifth-largest cement company in the long run.

The deal, once completed, is expected to result in significant synergies with Nuvoco’s current manufacturing sites in Nimbol and Chittorgarh, Rajasthan, allowing for increased operating efficiency. This will promote logistical optimisation, streamline operations, and increase competitiveness, giving the company better market access and a stronger supply chain in important regions.

On this historic occasion, Jayakumar Krishnaswamy, Managing Director of Nuvoco Vistas Corp. Ltd., adds, “This deal is a pivotal moment in Nuvoco’s journey, consolidating our position as the fifth-largest player in the Indian Cement Industry and further strengthening our market dominance. It complements our existing operations perfectly, expanding our geographic reach and operational capabilities. This strategic investment will enhance our portfolio, diversify our offerings and enable us to deliver greater value and superior service to our customers in a competitive and dynamic business landscape.”