Nuvoco Vistas Corp Ltd has officially announced the successful acquisition of Vadraj Cement Ltd. (VCL), a company currently undergoing the corporate insolvency resolution process. This milestone comes after the Committee of Creditors (CoC) approved Nuvoco’s resolution plan, which was followed by the issuance of a Letter of Intent (LOI). To execute this acquisition, Nuvoco will leverage its wholly-owned subsidiary, Vanya Corporation Pvt Ltd., ensuring that the funding process does not result in a significant increase in the company’s consolidated debt, reflecting its strategic and financially disciplined approach.
As part of its post-acquisition strategy, Nuvoco has outlined plans to invest systematically over the next 15 months to modernize and enhance the operational efficiency of VCL’s existing facilities. These facilities include a 3.5 million metric tons per annum (MMTPA) clinker unit in Kutch and a 6 MMTPA grinding unit in Surat, both situated in Gujarat. Additionally, VCL boasts significant limestone reserves and a captive jetty, which are expected to provide logistical and supply chain advantages. With investments aimed at upgrading assets and optimizing processes, Nuvoco targets commencing production at VCL’s plants by the third quarter of FY27, subject to final approval from the National Company Law Tribunal (NCLT).
