Why Adani Group's Ambuja Cement, ACC Shares Are Up Today

Share of the Adani Group-owned Amubja Cement and ACC jumped at market open on Monday after reports surfaced that the Group was looking to sell a stake in the companies

What Happened: Several media reports on Friday said that the Adani Group is looking to sell a 4.5% stake in its cement businesses for around ₹3,380.7 crore. The group had acquired a majority stake in the two companies last year for a massive $10.5 billion (₹81,751 crore) – the group’s biggest acquisition ever.

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The Group that has been trying to recover from the rout that started after the Hindenburg report had last week raised around ₹16,000 crore by stake several group companies to GQG Partners. The US-based global equity boutique bought shares in Adani Ports and Special Economic Zone Limited (APSEZ), Adani Green Energy Limited (AGEL), Adani Transmission Limited (ATL), and Adani Enterprises Limited (AEL).

Now, media reports speculate that the stake in ACC and Ambuja Cement may also be picked by GQG Partners. The report comes as the fund had already stated that it is looking to increase its holding in the group after the ₹16,000 crore investments.

The Group companies have suffered massive losses at the bourses since the Hindenburg allegations surfaced in late January. However, its cement businesses have fared relatively well.

Price Action: Amubja Cement shares were up 2.54% at ₹387.60, ACC shares were trading 0.82% higher at ₹1,862.25 when the markets opened on Monday.

Read next: Larsen & Toubro Shares Jump After Analyst Remains ‘Overweight'

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Posted In: ACCadani enterprisesAdani GroupAmbuja CementGautam AdaniGQG PartnersHindenburg Research