UltraTech Cement Ventures into Wires and Cables with Rs 1,800 Crore Investment
The Aditya Birla Group has unveiled plans to diversify its portfolio by entering the wires and cables segment
UltraTech Cement, India’s leading cement manufacturer under the Aditya Birla Group, has announced its entry into the wires and cables market, marking a significant diversification move. The company plans to invest Rs 1,800 crore to establish a manufacturing facility near Bharuch, Gujarat, with operations expected to commence by December 2026. This expansion, approved by UltraTech’s board on Tuesday, aims to position the company as a comprehensive player in the construction industry.
The new facility, part of UltraTech’s Building Products Division, will produce wires and cables to meet growing demand across residential, commercial, infrastructure, and industrial sectors. This follows the Aditya Birla Group’s 2024 launch of Birla Opus in the decorative paints market, reflecting a broader strategy to extend its footprint in construction-related segments. UltraTech highlighted that the wires and cables sector has seen a revenue CAGR of around 13% from FY19 to FY24, bolstered by a shift toward organized players, making it an appealing opportunity for a trusted brand.
Aditya Birla Group Chairman Kumar Mangalam Birla commented on the development, stating: "We intend to expand our presence in the construction value chain through our foray in the cables and wires segment, which aligns with our vision of providing comprehensive solutions to our end customers in the construction sector." He added, "This year UltraTech reached a new milestone of crossing 175 mtpa of cement capacity in India," and clarified, "it is committed to delivering superior quality building materials and solutions." Birla also emphasized that the company will continue to prioritize and grow its core cement business alongside this new venture.
UltraTech’s filings indicate the Rs 1,800 crore investment will span two years, leveraging the company’s manufacturing expertise and distribution network. The move is expected to enhance shareholder value by tapping into a high-growth market. In its cement operations, UltraTech faces stiff competition from Adani Group’s Ambuja Cements, the second-largest player, which is scaling up to 140 mtpa by FY28 through acquisitions like Penna Cement. UltraTech has countered with its own expansions, including stakes in India Cements and Kesoram Industries, recently boosting its grey cement capacity to over 156 mtpa.
The wires and cables venture positions UltraTech to compete with established names like Polycab and Havells, capitalizing on its construction sector credibility. As the Gujarat plant gears up for 2026, UltraTech is set to redefine its role in India’s building materials landscape.
