Aditya Birla Group, parent company of UltraTech, has submitted a bid for the Brazilian and Philippine cement assets that global giants Holcim and Lafarge are planning to sell ahead of their merger in order to comply with anti-competition rules, reported the Times of India.
Holcim has three integrated cement plants, two grinding stations and one ready-mix facility in Brazil, while it has three units in the Philippines. The enterprise value of the assets is pegged at $1.5 billion, according to sources.
UltraTech, whose operations outside India include the United Arab Emirates and Sri Lanka, is looking to expand its global footprint through the possible acquisition of the cement assets in Brazil and the Philippines.
Oct. 20 was the last day to submit bids. The Birla group will compete with several industry consortia and private equity groupings that have been formed to pursue a deal for the assets, which is estimated to be valued at $5-$8.85 billion.
