India's Sagar Cements surges on approval to acquire Andhra Cements

Sagar Cements

17/02/2023 05:52

** Shares of Sagar Cements  SGRC.NS  rise as much as 14.56%,
most intraday gain in over six months since Aug 5 to 240 rupees
    ** The rise comes after Sagar Cements said in an exchange 
filing on Thursday that the Amravati Bench of the National
Company Law Tribunal accepted cement maker's resolution plan to
acquire Andhra Cements for 9.22 bln rupees ($111.42 mln)
    ** The acquisition will improve SGRC's position in southern
markets and lead to a rise in production capacity: co
    ** "The acquisition cost is competitive and will create
value for stakeholders in the coming years," SGRC management and
said, adding that the enhanced capacities post the acquisition
will be commissioned during second half of FY2025
    ** About 561,112 shares change hands as of 11:11 a.m. IST,
more than 12 times the 30-day avg of 45,726 shares
    ** Of the 10 analysts tracking SGRC, seven maintain "buy"
and three suggest "hold"; median TP is 240.50 rupees - Refinitiv
data
($1 = 82.7500 Indian rupees)
 (Reporting by Bharath Rajeswaran in Bengaluru)
 ((bharath.rajeswaran@thomsonreuters.com; Mobile:
+919769003463))