N Srinivasan Resigns as CEO of India Cements After UltraTech Deal Cleared
Big Changes at India Cements
India Cements Ltd – N Srinivasan has stepped down as the Chief Executive Officer (CEO) of India Cements after the Competition Commission of India (CCI) approved a deal worth over Rs 7,000 crore. This deal involves UltraTech Cement, owned by billionaire Kumar Mangalam Birla, acquiring a majority stake in India Cements Ltd.
Resignation and Divestment
In a regulatory filing, India Cements announced that the former promoters and members of the promoter group, including N. Srinivasan, have ceased to be part of the company. N Srinivasan himself stated in a letter that he has divested all his shares in India Cement as part of the deal with UltraTech Cement, leading to his resignation as Vice Chairman & Managing Director, Director, and CEO of the company.
Acquisition Details
The deal involves UltraTech Cement acquiring 32.72% of India Cements’ equity share capital from the promoters and members of the promoter group, as well as Sri Saradha Logistics Pvt Ltd. The CCI has also allowed UltraTech Cement to acquire up to 26% more of the company’s equity share capital through an open offer.
CCI Approval
The Competition Commission of India has given its approval for UltraTech Cement’s acquisition of the mid cap cement company. This approval is necessary for deals that exceed certain thresholds, ensuring fair competition in the marketplace and preventing unfair business practices.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.