The announcement was made before market hours on 16 November 2009.
Meanwhile, the BSE Sensex was up 76.80 points, or 0.45%, to 17,098.65.
On BSE, 10,290 shares were traded in the counter as against an average daily volume of 72,935 shares in the past one quarter.
The stock had hit a high of Rs 810 and a low of Rs 780 so far during the day. The stock had hit a 52-week high of Rs 886.25 on 5 October 2009 and a 52-week low of Rs 250 on 25 November 2008.
The stock has risen 10.72% in six trading sessions from a recent low of Rs 729.40 on 13 November 2009.
The large-cap stock had underperformed the market over the past one month till 20 November 2009, falling 4.02% as compared to the Sensex's 1.17% fall. It had also underperformed the market in the past one quarter, rising 11.17% as compared to the Sensex's return of 13.39%.
The company's equity capital is Rs 124.49 crore. Face value per share is Rs 10.
The current price of Rs 807.60 discounts the company's Q2 September 2009 annualized EPS of Rs 80.60, by a PE multiple of 10.02.
The exchange ratio for the merger was pegged at 4:7 i.e. Samruddhi shareholders will get four shares of UltraTech of a face value of Rs 10 each for every seven shares of face value Rs 5 each.
The deal will make UltraTech, already the largest cement company in India by total capacity, the 10th largest in the world. The merged entity will have 48.8 metric tonne per annum (mtpa) of grey cement capacity across 22 plants and 11.7 million cubic metres of ready-mix concrete capacity across 68 plants, along with captive thermal power plants generating 504 megawatt.
In early October 2009, Grasim said it will transfer its cement business to its unlisted unit Samruddhi Cement in a cashless transaction and later merge it with group firm UltraTech as a part of a plan to bring the cement business of the Aditya Birla group under one roof. UltraTech Cement is engaged in manufacturing and marketing clinker and cement in India.
UltraTech Cement's net profit surged 52.81% to Rs 250.90 crore on 10.64% rise in net sales to Rs 1540.81 crore in Q2 September 2009 over Q2 September 2008.
The company is engaged in manufacturing and marketing clinker and cement in India.