Sanghi Industries shares jump 5%; Ambuja Cement climbs over 3%

New Delhi: Shares of Sanghi Industries on Thursday jumped 5 per cent after Ambuja Cement announced the acquisition of a majority stake in the cement manufacturer at an enterprise value of Rs 5,000 crore.

The stock rallied 4.99 per cent to touch its upper circuit of Rs 105.76 on the BSE.

Shares of Ambuja Cement also climbed 3.48 per cent to Rs 477.

Ambuja Cement on Thursday announced the acquisition of a majority stake in Sanghi Industries, one of the leading cement manufacturers from western India, at an enterprise value of Rs 5,000 crore.

Ambuja Cement, part of Adani Group, will buy 56.74 per cent stake in Sanghi Industries Ltd (SIL) from its existing promoter group - Ravi Sanghi & family.

The acquisition will be fully funded through internal accruals, said a statement from Ambuja Cement.

This is the first major deal by ports-to-power conglomerate Adani Group after the Hidenburg report alleged financial misconduct at the company.

On Wednesday, Ambuja Cement reported an increase of 31.2 per cent in consolidated net profit at Rs 1,135.46 crore and clocked a revenue from operations of Rs 8,712.90 crore for the June quarter. Consolidated results of Ambuja Cement include the financial performance of its step-down firm ACC Ltd, in which it owns around 51 per cent stake.