You are here: Home » News-CM » Equities » Hot Pursuit
Business Standard

Carborundum Universal rises after making strategic investment in PLUSS Advanced Tech

Capital Market 

Carborundum Universal jumped 3.14% to Rs 761 after the company agreed to make a strategic investment in PLUSS Advanced Technologies.

The investment is proposed to be made by acquiring the equity shares of PLUSS from the existing shareholders including promoters as well as subscribing to additional equity capital in PLUSS. As part of the agreement, Carborundum will acquire equity shares equivalent to 67.94% of the issued and paid-up equity share capital of PLUSS by 31 October 2021. The said shareholders' agreement envisages subscription to the equity shares equivalent to 12.53% of an enhanced issued and paid-up share capital of PLUSS by 31 October 2021. Consequently, CUMI will acquire stake aggregating to about 72% in the enhanced share capital of PLUSS.

The acquisition will aggregate to Rs 115 crore and will be funded through internal accruals.

PLUSS is a specialty materials research and manufacturing company involved in the fields of Phase Change Materials I (PCM) for thermal energy storage and speciality polymeric additives for enhancing mechanical properties.

Shares of Carborundum Universal hit a 52-week high of Rs 774.80 in intraday today. Carborundum Universal manufactures and sells abrasives, ceramics (industrial ceramics and refractories) and electrominerals.

On a consolidated basis, Carborundum Universal posted a 290.9% jump in net profit to Rs 77.13 crore on a 59% rise in net sales to Rs 705.78 crore in Q1 FY22 over Q1 FY21.

Powered by Capital Market - Live News

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Thu, August 26 2021. 12:24 IST
RECOMMENDED FOR YOU
RECOMMENDED FOR YOU