Investors vote in favour of Holcim's rejig process

Swiss cement company Holcim has managed to sail smoothly through its first phase of the controversial restructuring of its Indian operations. About 68 per cent of votes from public shareholders (including institutions and minority) were in favour of the resolutions regarding purchase of 1,365.69 million shares of Holcim (India) from Holderind Investments at Rs 25.63 apiece, and for the scheme of amalgamation between Holcim (India) Pvt Ltd and the company. India's state-run insurance companies had voted against the deal. According to postal ballots, in the institution segment, 67.95 per cent of votes were in favour; in the other public segment comprising minority shareholders, the proportion of favouring votes was over 88 per cent. "We have crossed the first stage and shareholders will meet on Saturday for the next step. Minority voters understood the deal, " an official at Holcim said.

It was late in July that Holcim had announced the two step transaction process which had raised many eyebrows.

According to the restructuring process, in a two-phased deal, Holcim will increase its stake in Ambuja Cements from 50.55 per cent to 61.39 per cent. Ambuja, in turn, will buy Holcim’s stake in ACC.