UltraTech Cement, part of the Aditya Birla Group, announced plans to sell a 6.49% stake in India Cements Ltd through an open market offer. The move comes as UltraTech strengthens its production capacity and expands towards crossing 200 million tones annually by FY26.
UltraTech Cement Limited, headquartered in Mumbai, Maharashtra, is India’s largest cement producer and the flagship cement business of the Aditya Birla Group. Operating in the building materials and infrastructure sector, the company manufactures grey cement, white cement, and ready-mix concrete. UltraTech serves domestic and global markets, positioning itself as a leading player outside China.
On Wednesday, the company’s Committee of Directors and Officers approved the sale of a 6.49% stake in its subsidiary, India Cements Ltd, through an open market offer for sale. While the company did not disclose the transaction value, the move is expected to streamline its portfolio as it continues to scale aggressively.
Shares of UltraTech Cement Ltd were trading marginally higher at ₹12,860 per share on the BSE in afternoon trade.
Chairman Kumar Mangalam Birla, addressing shareholders at the annual general meeting, reiterated that UltraTech is on track to surpass 200 million tonnes of cement production capacity per year by FY26. The company reported 188.8 MTPA capacity as of March 2025, reflecting a major scale-up with 42.6 MTPA added last year, including 16.3 MTPA from organic growth and 26.3 MTPA through acquisitions of India Cements and Kesoram Industries.
For FY25, UltraTech recorded net revenue of ₹75,955 crore and sales volume of 135.83 million tonnes, a year-on-year growth of more than 14%. With this trajectory, the company is positioning itself as the world’s largest cement seller outside China.
Also Read: Cementing Growth: India’s Cement Giants Power Through Q1FY26
India, currently the second-largest cement producer globally with a 30.8% market share, is projected to witness cement demand grow from 435 MTPA in FY25 to over 620 MTPA by FY30. This demand outlook supports UltraTech’s aggressive expansion strategy.
In Q1 FY26, UltraTech reported net revenue of ₹21,275 crore, up from ₹18,819 crore in the previous year, while profit after tax surged 49% to ₹2,226 crore. The company also added 3.5 MTPA of grey cement capacity in the quarter, taking its total installed capacity to 192.26 MTPA.
UltraTech’s white cement capacity stood at 1.3 MTPA, and white putty capacity at 2.0 MTPA as of June 2025, further diversifying its product mix.
Commenting on the macroeconomic environment, Birla noted that while global growth faces headwinds from trade conflicts, inflationary pressures, and high debt levels, India’s GDP is expected to expand by 6.5% in FY26, supported by infrastructure investment, policy support, and consumption recovery.
With its divestment move and strong growth outlook, UltraTech Cement is aligning itself to capture long-term demand while enhancing shareholder value.
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