Coromandel Sugars, an associate company of the N Srinivasan promoted India Cements Group, has picked up an additional 5% stake in Ponni Sugars Erode in an off-market deal struck on Friday. Post acquisition, Coromandel Sugars stake in Ponni Sugars Erode has gone up to a tad lower than 7%, from close to 2% it was holding at the end of the June quarter this fiscal. Ponni Sugars Erode in a regulatory filing said that Coromandel Sugars has lapped up 4.25 lakh additional shares of the company in a block deal struck on NSE on Friday, taking the India Cements arm’s stake in the sweatner maker to 6.74%, from 1.84% it was holding as of the end of June quarter this year. The Coromandel Sugars had picked up the stake at a price of Rs 106.50 a share, a discount of Rs 3.65 over the closing price of the stock at Rs 110.15 on NSE on Friday. India Cements stock gained close to 1% on NSE to end the week at Rs 105.90 on NSE on Friday.
Sangameshwar Holdings, which had a 3.43% stake in Ponni Sugars Erode, however, had diluted 2.27% of its stake bringing its holding down to 1.16% in the company. Similarly, Paterson and Company had sold their entire 2.27% stake in Ponni Sugars Erode in a separate deal at a price of Rs 106.57 a share. Promoters hold 45.63% stake in Ponni Sugars Erode.
Analysts tracking the sugar stocks see no immediate material impact on Ponni Sugars Erode stemming from Coromandel Sugars deal.