Dalmia Bharat acquires 5.2 MnTPA cement capacity, targeting pan-India expansion
Dalmia Cement (Bharat) Limited, a wholly owned subsidiary of Dalmia Bharat Limited, has executed a Business Transfer Agreement for the acquisition of multiple cement plants located in the Central Region. The acquisition, valued at an Enterprise Value of Rs 2,850 Cr, significantly boosts Dalmia Bharat’s cement manufacturing capacity and supports the company’s goal of becoming a pan-India player.The agreement was executed on May 21, 2026, with Jaiprakash Associates Limited (JAL), which was acquired by the Adani Group under the Insolvency & Bankruptcy Code, and Adani Infra (India) Limited.
Capacity and Asset Details
The acquired cement undertaking comprises plants at Rewa (Madhya Pradesh), Churk, Chunar, and Sadwa (Uttar Pradesh). The assets provide a total cement capacity of 5.2 MnTPA and a clinker capacity of 3.3 MnTPA. Additionally, the facilities entail 99 MW of thermal power capacity and include railway sidings at Rewa and Chunar.Details of the acquired plant-wise capacity are as follows:
| Plant Location | Unit Type | Cement Capacity | Clinker Capacity | Thermal Power |
|---|---|---|---|---|
| Rewa (Madhya Pradesh) | Integrated Unit | 1.1 MnTPA | 3.3 MnTPA | 62 MW |
| Chunar (Uttar Pradesh) | Grinding Unit | 2.5 MnTPA | N/A | 37 MW |
| Churk (Uttar Pradesh) | Grinding Unit | 1.0 MnTPA | N/A | N/A |
| Sadwa (Uttar Pradesh) | Blending Unit | 0.6 MnTPA | N/A | N/A |
With the consummation of the transaction, which is expected within two weeks, Dalmia Bharat's overall cement capacity is projected to increase to 54.7 MnTPA. This increases the company's existing installed manufacturing capacity of 49.5 MnTPA.
Strategic Importance and Future Outlook
The acquisition of these assets provides Dalmia Bharat with faster access to Central markets compared to establishing a greenfield project. The plants also offer opportunities for expansion through debottlenecking and brownfield development.Puneet Dalmia, Managing Director & CEO of Dalmia Bharat Limited, stated that the assets are a "great strategic fit" and will help the company move forward in its journey to be a pan-India player. He noted that the centralized location and relatively better pricing in the Central Region are expected to augment EBITDA delivery and enhance overall returns.
Dalmia Bharat’s leadership highlighted that the capacity addition marks a significant milestone for achieving long-term expansion targets and establishing a capacity hub. Looking ahead, the company also plans to further augment its cement capacity to 66.7 MnTPA through ongoing expansion projects at Belgaum, Pune, and Kadapa by Q2-Q3 FY28.
DALBHARAT Stock Price Movement
On Thursday, shares of Dalmia Bharat Limited climbed 2.24% to settle at ₹1747.8, reflecting strong momentum in the construction sector. The stock saw investor interest throughout the session, trading on a volume of 293,692 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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