UltraTech Buys 8.69% Stake in Star Cement for Rs 8.51 Bn
Cement

UltraTech Buys 8.69% Stake in Star Cement for Rs 8.51 Bn

UltraTech Cement Ltd has acquired an 8.69 per cent stake in Star Cement Ltd from its promoter group for Rs 8.51 billion. The transaction, conducted via the block deal window, saw shares purchased at Rs 235 per share, as per an exchange filing on December 27. UltraTech clarified that the acquisition is a non-controlling minority stake in Star Cement.

Star Cement, headquartered in Meghalaya, reported a turnover of Rs 29.1 billion for the financial year 2024. The company holds a dominant 26.5 per cent market share in the northeastern cement market, supported by a grinding capacity of 7.7 million tonne per annum (MTPA) and clinker capacity of 6.1 MTPA. Its distribution network includes approximately 2,000 dealers and over 12,500 retailers. Premium sales account for 10.6 per cent of the company’s overall sales.

In addition to this stake acquisition, UltraTech recently acquired a controlling 32.72 per cent stake in India Cements, triggering an open offer priced at Rs 390 per share. The deal made India Cements a subsidiary of UltraTech, adding 14.5 million tonne (mn t) to UltraTech’s production capacity.

Star Cement has also been expanding its resource base and operations. In the September quarter, the company emerged as the preferred bidder for six limestone blocks in Rajasthan’s Beawar district, with estimated geological reserves of 63.9 mn t spread across 95.68 hectare. Additionally, the company is setting up new units in Silchar and Jorhat districts of Assam, with a planned capital expenditure of Rs 3.80 billion for the second half of the financial year.

The strategic acquisition by UltraTech further consolidates its position in the Indian cement market while providing exposure to Star Cement’s strong presence in the north-eastern region.

UltraTech Cement Ltd has acquired an 8.69 per cent stake in Star Cement Ltd from its promoter group for Rs 8.51 billion. The transaction, conducted via the block deal window, saw shares purchased at Rs 235 per share, as per an exchange filing on December 27. UltraTech clarified that the acquisition is a non-controlling minority stake in Star Cement. Star Cement, headquartered in Meghalaya, reported a turnover of Rs 29.1 billion for the financial year 2024. The company holds a dominant 26.5 per cent market share in the northeastern cement market, supported by a grinding capacity of 7.7 million tonne per annum (MTPA) and clinker capacity of 6.1 MTPA. Its distribution network includes approximately 2,000 dealers and over 12,500 retailers. Premium sales account for 10.6 per cent of the company’s overall sales. In addition to this stake acquisition, UltraTech recently acquired a controlling 32.72 per cent stake in India Cements, triggering an open offer priced at Rs 390 per share. The deal made India Cements a subsidiary of UltraTech, adding 14.5 million tonne (mn t) to UltraTech’s production capacity. Star Cement has also been expanding its resource base and operations. In the September quarter, the company emerged as the preferred bidder for six limestone blocks in Rajasthan’s Beawar district, with estimated geological reserves of 63.9 mn t spread across 95.68 hectare. Additionally, the company is setting up new units in Silchar and Jorhat districts of Assam, with a planned capital expenditure of Rs 3.80 billion for the second half of the financial year. The strategic acquisition by UltraTech further consolidates its position in the Indian cement market while providing exposure to Star Cement’s strong presence in the north-eastern region.

Next Story
Infrastructure Transport

Mumbai-Ahmedabad Bullet Train Set to Launch by 2028

India’s first bullet train is set to revolutionize high-speed travel along the western corridor, with the Mumbai-Ahmedabad high-speed rail project aiming for a 2028 launch. This announcement marks a major milestone in India’s infrastructure goals, as it promises to reduce travel time between the two economic hubs from eight hours to just three.Spanning a planned 508-kilometre stretch, the corridor stands as a flagship example of Indo-Japanese collaboration in technology and engineering. Once operational, the train is expected to transform intercity mobility and place India among the select..

Next Story
Infrastructure Transport

Mumbai-Gandhinagar Train Service Enhances Passenger Capacity

The Mumbai Central–Gandhinagar Capital Vande Bharat Express has increased its passenger capacity by adding four additional AC chair car coaches to meet the growing commuter demand on one of India’s busiest business corridors. This upgrade, effective from 11 May, raised the train’s seating capacity from 1,128 to 1,440 passengers, allowing it to serve 936 more passengers daily in both directions. The increase was described as a practical measure to accommodate the surging demand on the busy Mumbai–Ahmedabad–Gandhinagar route, which regularly operates at over 150 percent seat occupancy...

Next Story
Infrastructure Urban

Delhi Plans 12 Sewage Plants to Clean Najafgarh Drain Efficiently

Delhi’s ambitious plan to improve the water quality of the Yamuna River has gained significant momentum as the Delhi Jal Board (DJB) has begun work on 12 new sewage treatment plants (STPs) aimed at reducing the volume of untreated sewage being discharged from the Najafgarh Drain.This initiative forms part of the ongoing efforts to clean the Yamuna and restore the river’s health, which has long been a critical environmental issue for the national capital. Given the alarming pollution levels in the Yamuna, experts and officials consider this project a vital step toward addressing the persist..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?