Mumbai (Maharashtra) [India], Nov 13: UltraTech Cement Middle East Investments Ltd (UCMEIL) said on Wednesday it has entered into a binding agreement with Heidelberg Cement Bangladesh Ltd for divesting its entire shareholding in Emirates Cement Bangladesh Ltd and Emirates Power Company Ltd.
Based in the United Arab Emirates, UCMEIL is a wholly-owned subsidiary of Aditya Birla-led UltraTech Cement. Under the terms of the agreement, UCMEIL will divest its entire shareholding at an enterprise value of 29.5 million dollars (about Rs 210 crore). The deal is subject to regulatory approvals in compliance with the laws of Bangladesh.
UltraTech is the third-largest cement company in the world outside of China. It is also the only company to have a capacity of over 100 million tonnes in a single company.
UltraTech is also in the process of selling its non-core assets acquired in China to deleverage its balance sheet. It recently completed the acquisition of Century Cement, taking its manufacturing capacity to 117.4 million tonnes per annum. The company plans to invest Rs 940 crore for making premium products with an increase in its grinding capacities in Bihar and West Bengal.