UltraTech Goes Global, Offers To Acquire 31.6 Per Cent Stake In UAE-Based RAKWCT

Aditya Birla Group’s UltraTech Cement Ltd on Monday (27 May) said it has made an offer to acquire a 31.6 per cent stake in UAE-based Ras al Khaimah Company for White Cement and Construction Materials (RAKWCT).

The acquisition will be carried out by UltraTech Cement Middle East Investments Limited (UCMEIL), a wholly-owned subsidiary of the Indian cement manufacturer based in the UAE.

In April 2022, UltraTech had announced that UCMEIL would invest in 29.39 per cent of the equity share capital of RAKWCT, which is listed on the Abu Dhabi stock exchange.

Subsequently, on 27 May 2024, UltraTech declared its intention to make a partial conditional cash offer to acquire a 31.6 per cent stake in RAKWCT.

According to a press release by UltraTech, this acquisition aims to leverage the company's expertise in white cement manufacturing to expand RAKWCT's business locally, regionally, and globally, including introducing modern products such as wall care putty and other new offerings.

UltraTech has a consolidated capacity of 151.6 million tonnes per annum (MTPA) of grey cement. The third largest cement producer in the world, now boasts of as much as 150 per cent of the capacity in the United States and 80 per cent of Europe's capacity.