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Friday, April 25, 2008

ACC, Ambuja Cement merger ruled out


Putting to rest speculation about a merger of ACC and Ambuja Cement,
the managing director of ACC has ruled out any such possibility.

"There are no plans of merger," Sumit Banerjee, managing director of
ACC told DNA Money on Thursday.

There has been market speculation that ACC and Gujarat Ambuja will be
merged to compete better in the cement sector, which is becoming
increasing consolidated.

Holcim, the world's second-largest cement manufacturer, controls both
ACC and Ambuja Cement. The Swiss firm holds a 43% stake in ACC through
its unlisted subsidiary Ambuja Cement India Ltd and has a 45% holding
in Ambuja Cement.

Meanwhile, ACC, India's largest cement maker, said its bottomline was
little changed because of the rising cost of coal and a state-enforced
price curb. Net profit was Rs 358 crore in the three months to March
31, compared with Rs 356 crore a year earlier, the Mumbai-based
company said in a statement to the


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