CCI Approves Renew Exim DMCC Acquisition of 72.64% in ITD Cementation India

Renew Exim DMCC, incorporated in Dubai, UAE, is a holding company specializing in investment and management of commercial enterprises.

The Competition Commission of India (CCI) has granted approval for the proposed acquisition of up to 72.64% shareholding in ITD Cementation India Limited by Renew Exim DMCC, a company based in Dubai and part of the Adani Group. This acquisition marks a significant step in the expansion of the Adani Group's investment portfolio in India's engineering and infrastructure sector.

The transaction entails two key components:

1. Direct Acquisition: Renew Exim DMCC will acquire approximately 46.64% of the equity share capital of ITD Cementation India Limited, equivalent to 8,01,13,180 shares.
2. Open Offer: As per the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, the acquirer has launched an open offer for an additional 26% stake, equivalent to 4,46,64,772 fully paid-up equity shares with a face value of INR 1 each.

Upon successful completion of these transactions, Renew Exim DMCC's total holding in ITD Cementation India Limited will reach 72.64%, providing the Adani Group significant control over the target company.

Renew Exim DMCC Profile

Renew Exim DMCC, incorporated in Dubai, UAE, is a holding company specializing in investment and management of commercial enterprises. Although the company does not have any operations in India, it is a key entity within the Adani Group’s strategic expansion plans.

ITD Cementation India Limited Overview

ITD Cementation India Limited is a leading engineering, procurement, and construction (EPC) company in India with an extensive presence in both domestic and international markets. The company specializes in heavy civil and infrastructure projects, including:

• Maritime Structures: Ports, jetties, and harbors.
• Mass Rapid Transit Systems: Metro and urban transit projects.
• Airports: Infrastructure development and expansion.
• Hydroelectric Power: Dams, tunnels, and irrigation.
• Highways and Bridges: Construction of major transport links.
• Industrial Structures: Factories, warehouses, and advanced industrial buildings.
• Water and Wastewater Projects: Systems for treatment and distribution.
• Foundation and Specialist Engineering: Advanced foundation work for critical infrastructure.

Strategic Implications

The acquisition underscores the Adani Group’s commitment to expanding its footprint in India’s infrastructure sector. The collaboration is expected to leverage ITD Cementation’s expertise in EPC and infrastructure projects, aligning with India’s infrastructure development goals under the National Infrastructure Pipeline (NIP).

Renew Exim DMCC’s entry into India’s infrastructure domain, backed by the Adani Group’s resources, is likely to bolster ITD Cementation’s capabilities and market position, enabling it to undertake larger and more complex projects both in India and abroad.

CCI's Role and Approval

The CCI’s approval reflects its assessment that the acquisition does not pose any significant competition concerns in the relevant market. By facilitating this acquisition, the CCI supports investments that align with the government’s vision of fostering infrastructure growth and private sector participation.

The acquisition is expected to enhance employment opportunities, technological advancements, and economic growth within India’s burgeoning infrastructure landscape.