India Cements up 6%, hits new high as UltraTech to sell 6.49% stake via OFS

India Cement stock rallies after UltraTech unveils plan to 6.49 per cent stake in the company through an OFS, to comply with SEBI rule on at least 25 per cent public shareholding

India Cements share price today

  Shares of India Cements hit a record high of ₹392, as they rallied 6 per cent on the BSE in Thursday’s intra-day trade amid heavy volumes as UltraTech Cement said it plans to sell up to 6.49 per cent stake in the company through an Offer for Sale (OFS). On December 24, 2024, India Cements became a subsidiary of UltraTech Cement.  The stock price of the cement & cement products company surpassed its previous high of ₹382.25 touched on August 13, 2025. It has bounced back 64 per cent from its 52-week low of ₹239 hit on February 28, 2025.  At 11:14 AM; India Cements shares were quoting 4.5 per cent higher at ₹386.65, as compared to 0.34 per cent rise in the BSE Sensex. The average trading volumes at the counter jumped over five-fold. A combined 4.58 million equity shares changed hands on the NSE and BSE.  CATCH STOCK MARKET TODAY LIVE 

UltraTech Cement to sell up to 6.49% stake in India Cements through OFS

  UltraTech Cements, India’s largest cement maker announced that it will sell its 6.49 per cent stake in India Cements through an OFS via the stock exchange mechanism, to comply with SEBI rules that require listed companies to have at least 25 per cent public shareholding.   UltraTech’s committee of directors and officers, at its meeting held on Wednesday, approved the sale of up to 20.1 million equity shares of India Cements. The 6.49 per cent stake is valued at ₹745 crore, based on the company’s total valuation of ₹11,466 crore as of Wednesday.   This sale will reduce UltraTech’s stake in India Cements to 75 per cent and is expected to raise around ₹740 crore at a floor price of ₹368 per share (closed at ₹370 yesterday). UltraTech had increased its holding in India Cements in July 2024 by acquiring a 32.72 per cent stake for ₹3,954 crore, in addition to its earlier 22.77 per cent stake purchased for ₹1,889 crore followed by an open offer for ~26 per cent making it a subsidiary. 

Outlook – India Cements

  Being part of the group, India Cements is expected to benefit from the operational synergies flowing through from its parent to India Cements over the medium term. The company has installed cement capacities of 14.45 metric tonne per annum (MTPA) with 12.95 MTPA in South India, thus having established market position in South India with strong brand presence. This is critical to UltraTech which has significantly increased its presence in South India by acquiring India Cements.   India Cements has integrated operations with presence of captive power plants and limestone reserves. The company’s capital structure has significantly improved in FY25 through recoupment of loans and advances from group entities of erstwhile promoters, sale of the Parlie grinding unit, reduction in capital advances, and disposal of land and buildings and other non-core assets, according to CARE Ratings.   India Cement’s parent company, UltraTech has announced capex plan of ₹1500 crore in India Cements to improve its operational efficiency. Among the measures, include installation of 21.8 MW WHRS which are expected to be cost effective, the rating agency said.   Meanwhile, major players are expanding capacity, particularly in the Southern and Eastern regions. Cement prices experienced a decline in the first half of FY25, primarily due to weak demand and increased competition. However, prices have shown sequential improvement in recent months, driven by increased construction activities. The cement sector saw a significant increase in mergers and acquisitions in FY24, with the highest level of activity since FY14. Increased government spending on infrastructure and large-scale housing projects is expected to boost cement demand and capacity growth, India Cements said in FY25 annual report. 
 

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