UltraTech's Strategic Stake: Cementing a Stronghold in Star Cement

UltraTech Cement has announced the acquisition of a 8.69% minority stake in Star Cement, spending approximately Rs 851 crore. This move follows UltraTech's recent acquisition of India Cements Ltd. Star Cement, established in 2001, is expanding in West Bengal and Bihar, with a turnover of Rs 2,910.66 crore in FY24.

UltraTech Cement, a leader in the cement industry, disclosed its acquisition of an 8.69% minority stake in Star Cement. The transaction, which involves a deal worth up to Rs 851 crore, marks another strategic move by UltraTech following its acquisition of India Cements Ltd.

Star Cement has made significant inroads in north-eastern India and is ambitiously expanding its operations into West Bengal and Bihar. Established in 2001, Star Cement boasts an installed capacity of 7.7 MTPA and ended FY24 with a turnover of Rs 2,910.66 crore.

The decision by UltraTech's board to invest in Star Cement reflects its strategy to fortify its market hold. The proposed acquisition price is set at up to Rs 235 per share, underlining UltraTech's assertive approach in the competitive cement sector.

(With inputs from agencies.)