Binani Cement renamed UltraTech Nathdwara Cement
Aditya Birla Group firm UltraTech Cement on Thursday said it has changed the name of Binani Cement to UltraTech Nathdwara Cement Ltd after acquiring the debt-ridden company. The National Company Law Appellate Tribunal had on November 14, 2018 approved the Rs 7,950 crore offer of UltraTech for the Rajasthan-based firm. "We write to inform you that Binani Cement Ltd is now 'UltraTech Nathdwara Cement Ltd," UltraTech Cement said in a regulatory filing to the exchanges. The acquisition has provided UltraTech "immediate earnings with ready to use assets" which are operating at 50 per cent capacity utilisation. The company would also go for volume addition of 5-6 per cent on the existing base, it added. UltraTech Nathdwara Cement has an installed capacity to produce 6.25 million tonnes per annum (MTPA) cement and 4.59 MTPA clinker in Rajasthan. Besides, it has 2 MTPA clinker and 0.3 MTPA cement capacity in China and 2 MTPA cement capacity in UAE. UltraTech's capacity in the North region will get enhanced to 24 MTPA and it would "become one of the strongest player in North market", it added. According to the company, the North market is growing between 8-10 per cent and it expects the growth momentum to continue. The acquisition would also provide synergies between the companies in "logistics (lead distance & rates) and procurement" and operational synergies. Post acquisition, UltraTech Cement's capacity in India has gone up to 94.75 MTPA from the exiting 88.5 MTPA.
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