Building materials group CRH has said it is in talks with Jaypee Cement Corporation that may lead it to buying an equity stake in its operations in the western Indian state of Gujarat.
Jaypee's cement business in Gujarat consists of a 3.6 million tonne clinker plant in western Gujarat and a grinding plant in eastern Gujarat which can produce 2.4 million tonnes a year.
CRH was known to be eyeing an expansion in India and was in the race with Ultratech Cement, India's leading cement maker, to buy the two plants.
India's Economic Times had reported yesterday that the company was close to picking up a 51% stake in Japyee's cement operations in Gujarat.
The Jaypee group is a diversified infrastructure conglomerate based in Noida in India. It was founded by Jaiprakash Guar in 1979 and has business interests in engineering and construction, power, cement, property, hotels and sports and education.
CRH entered the Indian market in 2008 through a joint venture with My Home Industries Limited, a leading cement manufacturer in the south India state of Andhra Pradesh.
CRH manufactures and distributes building material products in 36 countries at 3,600 operating locations. It employs 79,000 people and reported sales revenue of over €18 billion last year.
