CHENNAI: In a strategic move on Thursday, UltraTech Cement, the country's leading cement maker, announced its acquisition of a 23% stake in Chennai-based rival India Cements Ltd for over Rs 1,900 crore, to be executed in two tranches.

As detailed in a regulatory filing, UltraTech Cement has acquired 6,02,48,983 equity shares, equating to a 19.44% stake in India Cements, at a price of up to Rs 267 per share, valuing the transaction at Rs 1,608.64 crore. Additionally, the board has sanctioned the purchase of another 3.4% equity shares at Rs 285 per share, totaling Rs 295 crore.

This investment amplifies UltraTech's growth trajectory, complementing its ongoing capacity expansion and additional acquisitions, including a grinding unit from India Cements in Maharashtra for Rs 315 crore. UltraTech Cement aims to enhance its grey cement capacity to 198.2 MTPA, positioning itself as a global industry leader.