ACC to explore possibility of a merger with Ambuja Cement

MUMBAI: ACC Cement has decided to explore further the possibility of merging operations with Ambuja Cement, as discussed by the board of directors today at the annual meeting of ACC.
"The Board of Directors of the Company, at its meeting today, decided to commence an evaluation of a potential merger between the Company and Ambuja Cements Ltd with a view to combine the strengths of both businesses so as to benefit all stakeholders," a filing on the Bombay Stock Exchange by the company, said.

A special committee of directors, of which majority are independent directors has been constituted to commence the evaluation.

The filing says that no decision has been taken on the merger and the company will decide after receiving recommendations from the special committee and the audit committee.

The company has been toying with the idea since 2013 when the Swiss parent company of the two cement makers, LafargeHolcim executed a major rejig. LafargeHolcim owns 63per cent in Ambuja Cement which holds a 50.05per cent stake in ACC.