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Adani group-owned ACC Cement on Wednesday said that its promoter entity, Ambuja Cements, had released the non-disposal undertaking (NDU) on shares of ACC. The company had created the NDU on over 93.9 million shares, or over a 50.05 per cent stake, in ACC in September.
To put things in perspective, ACC promoters hold a total of 56.68 per cent in the company, while 43.32 per cent is with public shareholders, the stock exchange data shows. Among promoter entities, Ambuja Cements holds a 50 per cent stake in ACC.
NDU is different from pledging of shares. Under NDU, one can sell the stocks, unlike pledging that prevents sale of shares.
According to regulatory filings back then, Catalyst Trusteeship had been appointed as the NDU (non-disposal undertaking) agent in respect of the agreement. The Adani group had encumbered its 63.15 per cent stake in Ambuja Cements, as well as 56.68 per cent stake in ACC to the Hong Kong Branch of Deutsche Bank AG.
Informed sources say that while the NDU on the ACC shares had been released, the NDU on Ambuja shares still remained for now.
The buyouts from Holcim had marked the Adani group's entry into the cement business. The acquisition had made the Adani group the second largest cement producer in India with close to 70 million tonnes per annum (MTPA) in terms of installed capacity. The group plans to double this number in the next few years, it said in its investor presentation recently.
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First Published: Wed, November 23 2022. 21:47 IST