UltraTech Cement is selling a 6.49 per cent stake in India Cements. In an exchange filing, the Aditya Birla Group company said that it will offload 2.01 crore equity shares of India Cements through an Offer for Sale.
UltraTech Cement bought a majority stake in India Cement in 2024, effectively becoming a part of the Aditya Birla Group. UltraTech first acquired a 32.72 per cent stake in India Cement in July from its promoters for Rs 3,954 crore, and later increased its shareholding to 55.49 per cent via an open offer purchase.
Currently, UltraTech Cement has 81.49 per cent shareholding in India Cements. The proposed sale of 2.01 crore equity shares will bring down its ownership in India Cements to 75 per cent.
UltraTech has not revealed the proposed deal value of the sale or the Offer for Sale price range. Meanwhile, India Cements’ stock was trading at Rs 371 per share on the stock exchange.
India cement performance
In the first quarter of FY26, India Cements reported net sales of 1,025 crore. The company’s sales slide marginally on a quarter-on-quarter basis, as in the corresponding quarter of FY25, it recorded sales of Rs 1027 crore.
However, the company turned EBITDA positive in the quarter, reporting an EBITDA of Rs 92 crore against the previous quarter’s Rs -9 crore.
Debt Reduction
The company’s debt and credit rating have also improved in the last quarter. On its AGM on August 13, India Cements Chairman said to the shareholders, “Having reduced its debt by Rs. 1,457 crores, your company is now in a stronger financial position. Your Company has received multiple credit rating upgrades and is now rated CARE AAA (Stable) for long-term instruments and CARE A1+ for short-term instruments.”
He added that India Cements is in the process of formulating a capital expenditure plan with a focus on cost optimisation, debottlenecking, product quality improvements, and sustainability across its operations