India's Solar Industries to buy South Africa's Omnia for $1.36 billion

India's Solar Industries announced on Monday that its subsidiary, Solar SA Investments, will acquire South Africa's Omnia Holdings in an all-cash transaction valued at approximately $1.36 billion. The explosives and ammunition manufacturer aims to bolster its global mining business through this acquisition. Solar SA Investments will acquire all outstanding shares of Johannesburg-listed Omnia, pending regulatory and shareholder approvals, according to the company's statement.

The deal comes as African nations intensify efforts to increase output and attract investment in critical minerals. Zambia, for instance, is aiming for a near-tripling of production as metal prices rise. Solar Industries anticipates that the expanded footprint will significantly boost Africa's mining revenue, potentially multiplying it several times over by fiscal year 2028.

India's solar sector push is also driving advancements, with Western Indian-based Solar Industries manufacturing industrial explosives and initiation systems for various sectors, including mining, infrastructure, construction, defense, and space. The company operates over 40 manufacturing facilities across the globe. Omnia, which serves the mining and agriculture sectors, operates in 23 countries and serves customers in more than 40 countries. The company reported revenue of about $1.41 billion for the fiscal year ending March 31.