Orient Cement Issues Clarification Amid Reports On Stake Sale To Adani

There is no material information which may have a bearing on the price or volume behaviour of the scrip, the company said.

<div class="paragraphs"><p>Stock price movement on screen. (Photo: Rawpixel/Freepik)</p></div>
Stock price movement on screen. (Photo: Rawpixel/Freepik)

The Chandrakant Birla-owned Orient Cement Ltd. has said it is not privy to any discussion, amid media reports of stake sale of the company to the Adani Group.

The cement maker will promptly comply with disclosure obligations "if and when the company becomes aware of any information/event warranting a disclosure", it said in a clarification.

"We further wish to clarify that at present, there is no material information/announcement, including impending announcement, which in the opinion of the company may have a bearing on the price/volume behaviour of the scrip," the statement said.

Shares of Orient Cement jumped nearly 15% to a 52-week high at Rs 216.50 apiece on the NSE on Wednesday, after media reports claimed Birla has approached billionaire Gautam Adani to sell his promoter stake in the company.

According to shareholding data, the promoter stake in Orient Cement is 37.9%, as on September 2023. CK Birla himself holds 1.54% stake.

In January, the company had refuted reports about Adani Group buying a stake from its founders.

The Adani Group is India's second largest cement producer and owns Ambuja Cements Ltd. and its subsidiary ACC Ltd.

In August, the conglomerate acquired Gujarat-based Sanghi Industries Ltd. to expand its market presence and strengthen its product portfolio in the construction materials sector.

Shares of Orient Cement closed 7.55% higher at Rs 203.60 apiece after the clarification, as compared with a 0.83% declined in the S&P BSE Sensex.

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