Ambuja Cements to merge with Sanghi Industries, faces tax disallowance

Ambuja Cements Limited has received an order from the National Company Law Tribunal, Ahmedabad Bench, to convene an equity shareholders' meeting on Thursday, November 20, 2025, at 01:00 p.m. IST. The purpose of this meeting is to approve the Scheme of Arrangement for the amalgamation of Sanghi Industries Limited with Ambuja Cements Limited. The proposed scheme, with an appointed date of April 1, 2024, aims to integrate Sanghi Industries' operations, citing benefits such as enhanced business potential, improved resource utilization, and streamlined compliance.

In a separate development, Ambuja Cements also reported the receipt of an order on September 25, 2025, from the Commissioner of Central Excise & CGST, Bhavnagar. This order disallows Cenvat Credit (Input Tax Credit) totaling INR 21,96,26,568, along with interest and an equivalent penalty. The disallowance pertains to ITC availed on various services, including AMC, business auxiliary, maintenance & repair, manpower recruitment, mobile phone, security, technical testing and analysis, and port-related services at Muldwaraka.

The company is taking appropriate legal steps to appeal this tax disallowance order and anticipates no material impact on its financial, operational, or other activities.