India's Shriram Group has agreed to sell its stake in Sree Jayajothi Cements to My Home Industries, owned by building materials provider CRH.
Shriram said the deal valued Sree Jayajothi at 14 billion rupees (€175m) and the company intends to use the proceeds to reduce debt.
Sree Jayajothi Cements has a 3.2 million-ton cement plant in the southern Indian state of Andhra Pradesh.
CRH entered the Indian market in 2008 with the acquisition of a 50% stake in My Home Industries. My Home has an annual cement capacity of 4.8 Mtpa from two plants in India.
In a statement, CRH said the the acquisition will be financed from My Home Industries' existing debt capacity and by equity inputs from the joint shareholders.
The Shriram Group has interests in the financial, power, infrastructure, construction and property sectors.
