In continuation of its strategic acquisition spree, the Adani Group, through its Dubai-based subsidiary Renew Exim DMCC, has entered into an agreement to acquire a 46.64% stake in ITD Cementation India from its promoters, Italian-Thai Development Public Company for a consideration of ₹3,204 crore. Following the acquisition, Adani Group will give an open offer to acquire an additional 26% stake from public shareholders at ₹571.68 per share. potentially adding ₹2,553 crore to the transaction. If fully subscribed, the public offer is expected to add another ₹2,553 crore to the transaction taking the total deal value to ₹5,759 crore.

The agreement is part of the Adani Group's broader strategy to strengthen its position in the construction and infrastructure sectors by extending its portfolios in the sector. ITD Cementation, a leading engineering and construction company, specializes in civil engineering projects like airports, highways, metro systems, maritime structures, hydroelectric power plants, and tunnels. Adani's move to acquire a controlling stake in the company is in line with it's strategy to have in-house engineering and construction verticals.

In recent years, the Adani Group has acquired multiple companies, especially in the cement and construction industries. The acquisition of ITD Cementation comes shortly after Adani's purchase of Orient Cement for ₹8,100 crore. The deal had added 16.6 million tons of annual cement production capacity to Adani group.

Earlier this year, Adani also completed deals to acquire Sanghi Cement and Penna Cement, expanding its cement portfolio. These acquisitions followed the group's high-profile entry into the cement industry with the $6.5 billion acquisition of Ambuja Cement and ACC in 2022.

UnlikeAdani's earlier acquisitions, which saw the company expanding the cement production capacity, the acquisition of ITD Cementation will also bring in civil engineering expertise, particularly in sectors such as metro projects, airports, highways, and maritime structures to its portfolio. Presently, Adani group has existing operations in infrastructure development, renewable energy, and urban development projects across India and neighbouring countries. The addition of ITD Cementation's expertise in large-scale construction projects like ports, mass transit system provides an edge to Adani to compete more effectively in the growing infrastructure market. The government's push for infrastructure development in the country is expected to create substantial opportunities in this sector, and the group is consolidating its position to leverage the opportunities.

ITD Cementation formally announced the acquisition agreement in a stock exchange filing on October 26, 2024. According to an Economic Times report, the company confirmed the Renew Exim DMCC deal which is subject to government approvals and other regulatory clearances. Following the completion of the acquisition, the board of ITD Cementation will be reconstituted with addition of new directors from Adani, while nominees from the previous promoters are likely to step down.

With this acquisition, the Adani Group continues its aggressive expansion strategy, which has helped the group to grow its influence in the critical sectors such as infrastructure and engineering, reshaping the competitive landscape in India.