Paterson & Co scoops 24.75% stake in India Cements Capital for Rs 8 cr
The acquisition involves 53,72,000 shares priced at Rs 15.75 per share for the Rs 10 paid up share of ICCL amounting to a transaction value of over Rs 8 crore.
CHENNAI: In a strategic deal that’s raised eyebrows in financial circles, Paterson & Co, one of India’s oldest stockbroking firms, has acquired a 24.75% stake in India Cements Capital Ltd (ICCL).
The acquisition involves 53,72,000 shares priced at Rs 15.75 per share for the Rs 10 paid up share of ICCL amounting to a transaction value of over Rs 8 crore.
ICCL, a company with deep roots in foreign exchange and stockbroking, holds an RBI-authorised dealer licence—an increasingly rare and valuable asset in today’s tightly regulated forex environment. This dealership is believed to be a key attraction for Paterson & Co, as such licences offer an opportunity to do the lucrative forex operations, and possibly future business from Chennai Super Kings (CSK), the IPL franchise which once belonged to India Cements.
India Cements forayed into financial services in the nineties by acquiring Aruna Sugar finance and later renamed it as India Cements Capital.
The N Srinivasan family retains majority control of ICCL through its entity, Sharada Logistics. Notably, before the India Cements-UltraTech deal last year, majority ownership of ICCL was transferred from India Cements to Sharada Logistics.
The forex dealership remains a prized asset in a sector where fresh RBI licences are hard to come by—making Paterson & Co’s move both bold and calculated.
