The Adani Group continues to strengthen its footprint in India’s infrastructure sector with a major strategic acquisition. Renew Exim DMCC, a Dubai-based Adani Group entity, has successfully raised acquisition financing from international investors, including BlackRock, to acquire a controlling stake in ITD Cementation India Ltd.

Acquisition Overview and Stake Details

As per the latest announcement on Wednesday, Renew Exim has completed the open offer process and acquired 20.81% of ITD Cementation’s equity. This follows an earlier agreement to acquire a 46.64% stake from the promoters, announced in October 2024 at ₹571.68 per share. With both transactions combined, Renew Exim will hold 67.45% in ITD Cementation, thereby gaining controlling interest in the company.

This transaction solidifies Adani’s position in India’s engineering, procurement, and construction (EPC) space. The acquisition is valued at ₹5,757 crore, broken down as follows:

• ₹3,204 crore for the promoter stake

• ₹2,553 crore for shares acquired through the open offer

The share purchase agreement (SPA) was signed with Italian-Thai Development Public Company Ltd on October 25, 2024.

Financing Through Global Bond Issue

To fund this deal, Renew Exim issued bonds which received strong interest from global institutional investors. Notably, BlackRock, the world’s largest asset manager, was one of the key investors in the bond offering. The participation of BlackRock provides a significant vote of confidence for the Adani Group, especially during a time when the conglomerate is under international scrutiny.

A Mumbai-based analyst highlighted the significance of this move:

“BlackRock’s participation signals that some of the most sophisticated global investors still trust Adani’s long-term infrastructure vision, despite ongoing regulatory probes.”

Regulatory Clearances and Market Movement

The Competition Commission of India (CCI) had already approved the deal on January 28, 2025. On the day of the announcement, ITD Cementation shares were trading at ₹534.50, reflecting a 0.38% increase on the BSE, with a market cap of ₹9,192 crore.

The company's strong order book, valued at ₹17,986 crore as of Q2FY25, and its expertise in marine, metro, airport, and industrial infrastructure projects, make it a valuable addition to Adani's growing infrastructure portfolio.

Strategic Rationale Behind the Acquisition

In a formal statement, the Adani Group said:

“This acquisition enhances the execution capabilities across our portfolio companies and strengthens our ability to deliver complex infrastructure projects in India. ITD Cementation’s proven execution record and strong pipeline make it a strategic fit.”

This acquisition is expected to significantly boost Adani's project delivery capabilities, especially as the conglomerate looks to tap large-scale government contracts and urban infrastructure development opportunities.

Context of Regulatory Challenges

Despite the strategic boost, this acquisition comes amid legal troubles for the Adani Group abroad. In November 2024, U.S. federal prosecutors filed charges against Gautam Adani and seven senior executives under the Foreign Corrupt Practices Act (FCPA). Allegations include:

• Over $250 million in bribes to Indian officials

• Favourable solar energy contracts in exchange

• Non-disclosure to U.S. investors while raising $3 billion through bonds and loans

Despite this backdrop, investor interest remained strong, indicating resilient trust in Adani’s infrastructure push.

Adani’s Infrastructure Expansion: A Broader Trend

This is not Adani’s first major acquisition in the infrastructure or cement sectors. The group has previously completed:

• Holcim’s Indian cement assets acquisition in 2022

• Penna Cement buyout in June 2024 worth ₹10,422 crore

• Orient Cement acquisition in October 2024 valued at ₹8,100 crore

The ITD Cementation acquisition marks another strategic step in expanding Adani’s construction vertical, enabling the group to take on mega infrastructure projects in transport, urban mobility, and logistics.

Conclusion

The Adani Group’s acquisition of ITD Cementation via Renew Exim DMCC, backed by BlackRock and other international investors, reinforces its dominance in India’s infrastructure sector. Despite facing legal heat abroad, the conglomerate continues to attract global capital, thanks to India’s booming infrastructure demands and Adani’s aggressive expansion strategy.

With this acquisition, Adani is not only gaining control over a top-tier EPC company but also signaling to the world that it remains a preferred player in India’s economic growth story.

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