Monday, March 17, 2014

INDIA: Chettinad Cement set to buy Anjani Portland

Chettinad Cement Corporation is set to acquire controlling interest in Anjani Portland Cement by entering into a share purchase agreement with the promoters of the latter.

In a notification to the BSE on Wednesday, Anjani Portland Cement said that the promoters of the company were proposing to sell up to a maximum of 1.13 crore shares, representing 61.62 per cent of the voting equity capital. A draft share purchase agreement to that effect was approved by the board of directors of Anjani Portland Cement.

Meanwhile, Motilal Oswal Investment Advisors has come out with a public announcement on behalf of Chettinad Cement for acquisition of up to a maximum of 47.82 lakh equity shares from public shareholders, constituting 26 per cent of the paid-up capital, at a price of Rs. 61.75 per share.

However, post-acquisition, the total shareholding and voting rights of Chettinad Cement in the target company would be less than or equal to 75 per cent, Motilal Oswal said in its announcement.

Shares of Anjani Portland Cement closed at Rs. 55.45 on the Bombay Stock Exchange on Wednesday.

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