Nuvoco Vistas buys Vadraj Energy for Rs 200 crore

Nuvoco Vistas Corporation has agreed to acquire Gujarat-based Vadraj Energy for Rs 200 crore to strengthen captive power supply for its cement operations. The purchase is from JSW Cement Ltd and Alpha Alternatives Holdings.

Nuvoco Vistas said it has signed a Securities Purchase Agreement to take full ownership of Algebra Endeavour Private Ltd, which holds Vadraj Energy. The company runs power generation assets in Kutch and Surat. Nuvoco Vistas said these facilities will serve its internal electricity needs.

The deal involves a full cash payment and is expected to close within ten days after all conditions in the agreement are completed. JSW Cement confirmed that it has signed the agreement to sell its stake in Algebra Endeavour. Nuvoco Vistas is the country’s fifth-largest cement producer with a capacity of 35 million tonnes per annum.

The move comes soon after the National Company Law Tribunal cleared Nuvoco’s bid for Vadraj Cement.