India Cements Management Quits As Aditya Birla's UltraTech Cement Takes Control Post Rs 7000 Crore Deal

In a major reshuffle in India's cement industry, UltraTech Cement, part of the Aditya Birla Group, has officially taken control of The India Cements Limited following a Rs 7,000 crore acquisition. The deal, finalised on December 24, 2024, saw UltraTech Cement acquire a 32.72% stake in India Cements, increasing its total shareholding to 55.49%, effectively making India Cements a subsidiary.

Board reshuffle and leadership changes

As part of the transition, several key resignations were announced. N Srinivasan, Vice Chairman and Managing Director of India Cements, stepped down along with Whole-Time Director Rupa Gurunath and several other board members. The resignations were effective at the close of business on December 25, marking the end of the former promoters' control over the company.

Independent directors S Balasubramanian Adityan, Krishna Srivastava, Lakshmi Aparna Sreekumar, and Sandhya Rajan also vacated their positions. The company is set to reclassify the former promoters to the 'public' category, aligning with regulatory guidelines.

New leadership under UltraTech

UltraTech Cement has swiftly moved to appoint new board members. Kailash Chandra Jhanwar, Vivek Agrawal, and E.R. Raj Narayanan are among the notable appointees, bringing decades of expertise in cement and related sectors. Independent directors such as Alka Bharucha and Sukanya Kripalu have also joined, ensuring a balanced and robust governance framework.

Implications for the cement sector

Analysts anticipate synergies in production and distribution, setting the stage for enhanced operational efficiency and market penetration.

The deal highlights Aditya Birla Group's aggressive expansion strategy and reflects UltraTech Cement's growing dominance in the sector. Industry observers are keenly watching how this integration will reshape the competitive landscape.