UltraTech to Buy 32.72% Stake in India Cements for ₹390

29 Jul, 2024

UltraTech to Buy 32.72% Stake in India Cements for ₹390

UltraTech Cement has announced its decision to acquire a 32.72% equity stake in India Cements Limited from the promoters and their associates. This acquisition, valued at ₹3,954 crores, is priced at ₹390 per share and will trigger a mandatory open offer at the same rate. This follows UltraTech’s earlier investment in June 2024, where it purchased a 22.77% equity stake at ₹268 per share. The deal is subject to regulatory approvals.

India Cements, with a total capacity of 14.45 million tonnes per annum (mtpa), includes 12.95 mtpa in Tamil Nadu and 1.5 mtpa in Rajasthan. The acquisition is set to bolster UltraTech’s ability to cater to the Southern markets, enhancing its journey toward achieving a 200+ mtpa capacity. Kumar Mangalam Birla, Chairman of the Aditya Birla Group, highlighted the strategic importance of this acquisition, emphasizing its role in boosting economic activity and supporting India's infrastructure needs.

UltraTech Cement, a leading global cement producer and a flagship of the Aditya Birla Group, is committed to sustainability and driving economic growth. This strategic move reinforces UltraTech’s leadership in the cement industry and contributes to India's infrastructure development.