Ambuja Cements block deal: 2.76% equity changes hands at ₹625.5/share

The large trade was on expected lines as news reports suggested that Adani family was planning to sell around 3% stake in the company. 

At 10:51 AM, the stock was trading at ₹639.45, up 1.03% on the BSE.

In March, the Adani group, as per news reports, infused ₹6,661 crore in Ambuja Cements by converting 21.20 crore warrants into shares, raising its stake in the country's second-largest cement company by 3.6% to 66.7%.

The board of Ambuja Cements approved the conversion of 21.20 crore warrants into shares of promoter entity Harmonia Trade and Investment at the rate of ₹314.15 per share.

It must be noted here that in 2022, Adani Group announced the acquisition of Holcim's stake in Ambuja Cements and ACC.

Reports also suggest that the family may look at selling a small shareholding of between 0.5% and 3% in Adani Power.

The shares will be subject to a 60-day lock-up period, excluding transfers to another promoter or promoter group members, with the lock-up continuing in the hands of the transferee.

Earlier, news reports said that promoters will sell about 7 crore shares, or 2.84%, in the cement maker for ₹4,198 crore. The offer price was set at ₹600 apiece, which was a 5% discount to Thursday's closing price of Rs 632.90 on BSE, the report added.

The billionaire Gautam Adani-led promoter group holds shares worth $125 billion across the 10 listed companies of the conglomerate.

Just like Berkshire Hathaway, they actively manage investment portfolios, which include owner stock, by regularly adjusting holdings.

This is with a view to providing strategic flexibility for events such as an acquisition.

The group, which has attracted large, long-only investors, also makes adjustments to suit the needs of investors, they said.

While long-only investors typically are invested in a stock for a long-term period of 10–15 years, in hypothetical scenarios, some may, at a given point in time, want to shed a part of the shareholding to meet funding needs.

Ambuja Cements Q1

Consolidated revenue from operations was ₹8,311.48 crore during the June quarter. It was ₹8,712.90 crore in the corresponding period last fiscal.

Total expenses in the June quarter were ₹7,566.91 crore. The total income of the company, which includes other income as well, was ₹8,666.20 crore in the June quarter.