Billionaire Gautam Adani-led conglomerate on Friday sold around 2.8% stake in Adani Group firm Ambuja Cements in a pre-market block deal valued at around Rs 4,200 crore.
The cement stock, which is up about 22% so far in the year, jumped 4% to the day’s high of Rs 659.70 in the opening session following the large deal.
According to a term sheet issued by the banker, Holderind Investments, an Adani Group entity, was looking to sell 69.96 million shares at a floor price of Rs 600 per share, a discount of 5% to Thursday’s closing price of Rs 633.
The Adani Group currently holds a 70.33% stake in Ambuja Cements, with Holderind Investments holding a 50.90% stake.
Since October 2023, the Adani Group has invested about Rs 20,000 crore in the company through subscription to warrants, increasing their total stake to 70.33%. Of this, Rs 15,000 crore was invested earlier this year while Rs 5,000 crore was invested in October 2022.
Earlier in the month, Ambuja had announced the acquisition of Hyderabad-based Penna Cement at an enterprise value of Rs 10,422 crore, adding to its capacity and market share in southern India.
With the purchase of Penna, Adani Cement is set to fast-track capacity, and also expects to improve its south India market share by 8% to 15%, and pan India market share to improve by 2%. The Adani Group is said to be planning to consolidate all its cement companies under one head in the medium term.
