Mumbai, April 25: UltraTech Cement today said the acquisition of 21-million-tonne (mt) cement capacity from Jaiprakash Associates Ltd would be funded by a 20-year rupee loan, which will have a five-year moratorium on the principal.

The AV Birla group company had in March entered into a definitive agreement with Jaiprakash Associates to acquire its cement plants in Madhya Pradesh, Uttar Pradesh, Himachal Pradesh, Uttarakhand and Andhra Pradesh at an enterprise value of Rs 15,900 crore.

The acquisition will take UltraTech's capacity to over 91mt.

While a large part of the deal will be funded via debt, UltraTech today said the financing would be through a 20-year rupee loan at base rate.

Meanwhile, the company's net profit for the fourth quarter ended March rose 10 per cent to Rs 723 crore from Rs 657 crore a year ago.

Net sales rose to Rs 6,850 crore from Rs 6,517 crore in the same period a year ago.