UltraTech to buy 23% of India Cements for Rs 1,885 crore.

Delhi, New: Leading cement manufacturer in the nation UltraTech announced on Thursday that it would buy a 23% share in rival India Cements Ltd., based in Chennai, in a deal valued at approximately Rs 1,885 crore.

According to a regulatory statement by the flagship company of the Aditya Birla Group, UltraTech Cement would purchase 7.06 crore equity shares of India Cements as part of the deal at a price of up to Rs 267 per share.

According to the report, the Board of Directors authorized "making a financial investment to purchase up to 7.06 crores equity shares of India Cements Ltd" at its meeting on Thursday.

Based on the share price of Rs 267, the acquisition's transaction value was determined to be Rs 1,885 crore.

According to UltraTech, "this non-controlling financial investment constitutes approximately 23% of the equity share capital of India Cements."

With an established capacity of 152.7 million grey cement tonnes per annum (MTPA), UltraTech is currently growing. stated on April 20 that it would be paying Rs 315 crore to acquire a Maharashtra grinding mill from India Cements.

A adjustment to UltraTech Cement's offer to purchase a quarter of UAE-based RAK Cement Co. for White Cement and Construction Materials PSC (RAKWCT) was also revealed earlier this week.
UltraTech has increased its capacity by 18.7 MTPA throughout the past 12 months.

"At sixteen locations, the continuous expansion of 35.5 MTPA is being actively realized. Furthermore, the business is now finalizing the proposed acquisition of Kesoram Cement. This would increase UltraTech's capacity for producing grey cement to 198.2 MTPA, the firm said in a statement in April.

In April of this year, UltraTech declared that it would invest almost Rs 32,400 crore, or $4 billion, over the following three years.

In the meantime, India Cements' operating income for the fiscal year that concluded on