ADANI ACQUIRES TO EXPAND ITS PORTFOLIO OF ENGINEERING & CONSTRUCTION COS
The Adani family, known for its ambitious infrastructure initiatives, advanced its strategy of building an in-house construction and engineering ecosystem through recent acquisitions of ITD Cementation and PSP Projects.
November 21, 2024, The Adani family, known for its ambitious infrastructure initiatives, advanced its strategy of building an in-house construction and engineering ecosystem through recent acquisitions of ITD Cementation and PSP Projects. Bankers revealed that the group, headquartered in Ahmedabad, was actively exploring further acquisition opportunities to bolster its capabilities.
As part of its $100 billion investment plan for 2030, the Adani Group has undertaken significant projects, including the Dharavi redevelopment, Ganga Expressway, a mega convention center in Mumbai, and airports. These large-scale endeavors necessitated in-house engineering and construction expertise, prompting the group's recent acquisitions.
Adani Enterprises, the flagship company of the group, allocated ₹67,000 crore for capital expenditure in the current financial year. Group CFO Jugeshinder ("Robbie") Singh noted during the September quarter results that the acquisitions were crucial for developing the construction ecosystem to meet rising capital expenditure needs. He explained that Adani Infra (India), the group’s construction arm, acquired ITD Cementation to enhance its construction assurance capabilities across group companies.
In October, the Adani Group’s Dubai-based private entity, Renew Exim DMCC, acquired a 46.64% stake in engineering and construction firm ITD Cementation India from its promoters for ₹3,204 crore. Days earlier, group company Ambuja Cements had acquired a 47% stake in Orient Cement from the CK Birla Group at an equity valuation of ₹8,100 crore.
These acquisitions reflect the Adani Group’s commitment to building robust in-house capabilities to support its expansive infrastructure projects while aligning with its long-term investment strategy.
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