Holcim acquires 11 per cent more in Ambuja Cements for Rs527 crore

Mumbai: Gujarat Ambuja Cements Ltd has sold 11 per cent in Ambuja Cement India (ACIL) to Swiss cement maker Holcim for Rs527 crore ($119 million). Gujarat Ambuja''s stake in ACIL now stands at 22 per cent down from 33 per cent earlier. Holcim owns the remaining 78 per cent stake in ACIL.

Gujarat Ambuja has exercised its put option for 11 per cent stake and sold 9.53 crore shares to Holcim, a release issued by GACL to the Bombay Stock Exchange (BSE) said.

GACL gained Rs240.7 crore by selling these shares. Holcim, in 2005, had bought 67 per cent stake in ACIL - 40 per cent from the government of Singapore and American International Group and 27 per cent through subscription of preferential shares for Rs3,502 crore.

Holderind Investments, a subsidiary of Holcim, currently holds 16.51 per cent stake in Gujarat Ambuja, while ACIL holds 9.93 per cent stake in the company.

The Swiss cement major is increasing its stake in ACC and Gujarat Ambuja Cements.