UltraTech boosts Binani Cement bid to ₹6,600 cr

MUMBAI: UltraTech Cement Ltd has increased its bid for Binani Cement Ltd in an email to the resolution professional overseeing the company’s bankruptcy proceedings as it tries to beat a consortium backed by Bain Capital that’s in the lead.

The company has raised its offer to about ₹6,600 crore ($1 billion) from about ₹6,200 crore earlier, chief financial officer Atul Daga said in an interview on Wednesday.

UltraTech, controlled by billionaire Kumar Mangalam Birla, is competing with the consortium led by Dalmia Bharat Ltd, which has been chosen as the highest bidder. Vijaykumar Iyer of Deloitte Touche Tohmatsu India Llp is the resolution professional overseeing the bidding.

“We are not happy with the way the process has been dealt with,” Daga said. “It’s not transparent and equitable. Specially when there was only a marginal difference in both the bids, the lenders should have called both the bidders to maximise the value.” UltraTech, India’s biggest cement maker, has approached the National Company Law Tribunal and the matter will be heard on March 19, he said. Deloitte did not immediately respond to an email seeking comment. Dalmia Bharat had put in a bid of about ₹6,350 crore, people familiar with the matter said last month. The consortium’s proposal included offering about a 20% stake in Binani Cement to its lenders, the people said.