Ambuja Cements hits fresh lifetime high on fund infusion plans

Shares of rallied as much as 10 per cent to hit a fresh high of Rs 568 on NSE after the company’s new board, post the acquisition by Adani Group, approved fund infusion of Rs 20,000 crore by way of preferential allotment of 47.7 crore convertible warrants at a price of Rs 419 to the promoters.

At 10:58 am, the stock pared some gains and was trading over 8 per cent higher at Rs 564 per share.

The company said Ajay Kapoor has been appointed as the new CEO of Ambuja Cements in place of Neeraj Akhoury and Sridhar Balakrishnan as CEO of . Karan Adani has been named as director of both firms and Chairman of ACC.

Adani group has also inducted former () chairman Rajnish Kumar as an independent director on the Ambuja Cements board and former Shell India head Nitin Shukla on the ACC board.

Post the acquisition of Ambuja Cements and its subsidiary, Adani has become the second-largest entity in the cement space, only after of Aditya Birla Group.

The stock in a month’s time has jumped 33 per cent, logging its best monthly gains since December 2008.

According to NSE data, over 3.84 crore shares have been traded so far in trade on Monday.

Ambuja Cements is a largecap cement player with a market capitalization of Rs 1,11,603 crore. It is among the country’s leading cement companies, offering home-building solutions and sustainable development operations.