Through intragroup restructuring, LafargeHolcim will increase its shareholding in Ambuja to 61.14% and Ambuja in turn will acquire LafargeHolcim’s 50.05% stake in ACC Limited.
The transaction will be effected through a merger of Holcim India Private Ltd. (HIPL), a wholly owned financial holding subsidiary, with Ambuja. In a two stage deal, Ambuja will first acquire, through a purchase, a 24% stake in HIPL for a cash consideration of INR 35,000 million (US$520.25 million), followed by a stock merger between HIPL and Ambuja. As part of the merger, LafargeHolcim will receive 584 million new equity shares of Ambuja resulting in an increase of its ownership in Ambuja from the current 50.28% to 61.14%.