Ultractech announces Singapore-based arm to divest entire 92.5% stake; stock ends lower

The stock ended at Rs3,860.90 per piece, down by 1.80% on Sensex.

Jul 07, 2020 04:07 IST India Infoline News Service

UltraTech Cement
Ultratech Cement stock ended in red on Tuesday after the company announced divestment plan of its Singapore-based subsidiary. The stock ended at Rs3,860.90 per piece, down by 1.80% on Sensex.

In a filing to exchanges, Ultratech said, Krishna Holdings Pte. incorporated in Singapore and a subsidiary of the company’s wholly-owned subsidiary UltraTech Nathdwara Cement, has entered into a binding agreement for divesting its entire equity shareholding of 92.5% in Shandong Binani Rongan Cement.

As per the binding agreement, Ultratech said that Krishna will divest its entire shareholding at an Enterprise Value of RMB 845 Mn +/- Working capital adjustments on closing, an equivalent of approx. $120M subject to customary closing conditions and regulatory approvals in compliance with the local laws.

On Sensex, the stock has touched an intraday high and low of Rs3947.10 per piece and Rs3828 per piece respectively.

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