Ambuja Cements announced the merger of its subsidiaries Sanghi Industries Limited (SIL) and Penna Cement Industries Limited (PCIL) with itself.
In a regulatory filing, the company said that it has entered into a scheme of arrangement with the two aforementioned companies and the proposed schemes inter ia provide for the amalgamation of SIL and PCIL with Ambuja Cements.
Ajay Kapur, CEO – Cement Business, Adani Group, said, “This merger aims to make our company more competitive and efficient, ultimately enhancing shareholder value. Enhanced working capital management and internal funds will support the growth of our business operations. Unified cash flow management will pool resources for faster expansion and cost savings in administration and governance, thereby simplifying compliance requirements. This advancement through a larger entity will increase market competitiveness and deliver greater value to our shareholders.”