UltraTech cement to acquire 23 pc stake in India Cements for Rs 1885 crore
This move aims to secure approximately 23 per cent of ICL's equity share capital, marking a notable strategic investment in the company.
ANI
Jun 27, 2024 10:11 IST
Mumbai (Maharashtra) [India], June 27 (ANI): UltraTech Cement Limited's Board of Directors, in a meeting held on Thursday, approved a financial investment to acquire up to 7.06 crore equity shares in The India Cements Limited (ICL).
This move aims to secure approximately 23 per cent of ICL's equity share capital, marking a notable strategic investment in the company.
The approved investment price is up to Rs 267 per share, bringing the total potential investment to approximately Rs. 1,885.02 crores.
The Board's decision, made in accordance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, highlights UltraTech's intent to strengthen its position in the cement market through a substantial stake in ICL.
Despite a negative opening in the broader stock market, India Cements' shares surged by 10 per cent, reflecting investor optimism regarding UltraTech's investment.
This significant price increase indicates positive market sentiment and the potential for enhanced business prospects for ICL.
The investment is perceived as a strategic move that could lead to synergistic benefits for both companies, potentially driving future growth and expansion in the cement sector. (ANI)
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