On Wednesday, the Adani family, spearheaded by billionaire entrepreneur Gautam Adani, announced that as the primary stakeholders, they have injected ₹8,339 crore into the cement subsidiary Ambuja Cements Ltd. through complete subscription to the latter’s warrants program. This move brings the total investment by the Adani family in the country’s second-largest listed cement producer to ₹20,000 crore, consequently boosting their stake by 3.6% to approximately 70.3%. This recent capital injection follows a previous investment of ₹5,000 crore into Ambuja on October 18, 2022, and another ₹6,661 crore on March 28, 2024, which was for the partial issuance of shares. The Adani group had acquired Ambuja Cements in 2022.

Ajay Kapur, Director and CEO of Ambuja Cements said, “This infusion of funds provides Ambuja, capital flexibility for fast-tracked growth, capital management initiatives and best-in-class balance sheet strength.”

“It is not only testament to steadfast belief in our vision and business model but also reinforces our commitment to delivering long-term sustainable value creation to our stakeholders and this shall propel us towards setting new benchmarks accelerating our growth and continue to deliver on operational excellence, business synergies and cost leadership,” mentioned Kapur.

As per the group’s statement, the latest action is a component of their dedication to robust capital management and the promoter’s objective to amplify the future potential and prospects of the cement division. “The additional investment will bolster the company’s financial standing, furnishing it with augmented capabilities to pursue its ambitious growth strategies and seize emerging market opportunities,” the statement affirmed. The company further indicated that the recent capital injection will aid the group in achieving its goal capacity of 140 million tonnes per annum by 2028 in the cement sector. This investment will facilitate various strategic endeavours, including debottlenecking capital expenditure to enhance operational efficiency and streamline resources and supply chain, it added.

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