UltraTech Cement plans to acquire a 31.6 per cent stake in RAK Cement Co for White Cement and Construction Materials PSC (RAKWCT), a prominent cement manufacturer in the UAE.
This acquisition will be facilitated through UltraTech’s wholly-owned subsidiary, UltraTech Cement Middle East Investments Ltd, headquartered in the UAE. The offer period for this transaction begins on 28 May and will remain open until 24 June.
Earlier this year, UltraTech Cement revealed plans to invest USD 10.10 million, approximately Rs 839.52 crore, to acquire 29.39 per cent of RAK Cement’s equity share capital. This move is looking to capitalise on UltraTech’s extensive expertise in white cement manufacturing, with the goal of enhancing RAK Cement’s operations both locally and internationally.
RAK Cement, which has been listed on the Abu Dhabi Stock Exchange since its incorporation in September 1980, reported a turnover of Rs 576.30 crore in 2023. This figure marks a growth of over 7 per cent from the previous year’s turnover of Rs 537.40 crore, continuing a positive trend from Rs 482.50 crore in 2021.
UltraTech Cement has a consolidated production capacity of 138.39 million tonne per annum (MTPA) of grey cement. The company's extensive operations include 23 integrated manufacturing units, 29 grinding units, one clinkerisation unit, and 8 bulk packaging terminals.
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