INSUBCONTINENT EXCLUSIVE:
NEW DELHI: UltraTech Cement surged over 4 per cent on Monday after the Aditya Birla Group company approved restructuring of the cement
business of Century Textiles and Industries and its absorption into UltraTech
The move is expected to add muscle to the company's position in central and east Indian markets.
The board on Saturday approved a scheme of
arrangement for Century Textiles and Industries and its respective shareholders and creditors, the Aditya Birla Group firm said in a filing
Reacting to the news, the stock rose 4.2 per cent to hit a high of Rs 4,021.55 on the BSE.
According to the scheme, the shareholders will
get one share of UltraTech with a face value of Rs 10 each for every eight of Century of face value Rs 10 each
"UltraTech will issue 1.4 crore new shares to the shareholders of Century, which will increase its equity capital to Rs 288.58 crore,
divided into 28.86 crores shares of Rs 10 each," UltraTech said
"The acquisition will contribute positively to the company's earnings," it said further.
Century Textiles fell 5.86 per cent to Rs 1,004
