Ambuja Cements has received approval from the Cabinet Committee on Economic Affairs (CCEA) for its proposal to acquire 24 percent stake in its holding company Holcim (India) through Holderind Investment by way of subsequent reverse merger through a share swap.

The deal would entail an outflow of Rs 3,500 crore, and it would enable Lafarge Holcim group to create a linear corporate structure with Ambuja and ACC becoming parent and subsidiary, respectively.

Ambuja Cements is a part of a global conglomerate Holcim. The company has five integrated cement manufacturing plants and eight cement grinding units across the country.