Ambuja acquisition could be LIC's windfall; acquirer to make open offer

A big bonanza awaits Life Insurance Corporation (LIC) of India, which owns a minority stake of Rs 7,047 crore in both Ambuja Cements and in its subsidiary ACC, with a new owner taking over India’s second-largest cement company.

LIC owns 6.3 per cent stake worth Rs 4,602 crore in Ambuja Cements and 5.66 per cent stake worth Rs 2,445 crore in ACC.

Banking sources say LIC and other shareholders will have the option to exit both companies at a huge profit once the acquirer makes an open offer for them.

Last week, Adani Group and JSW Group submitted non-binding bids