Sanghi Industries shares fell by 13% by Adani Group's big decision
Sanghi Industries shares fell by about 13 percent in early trade on Wednesday. It went to the level of Rs 67.01 intraday on NSE, which is its 52-week low. Sanghi Industries shares have been declining for a long time. It has given a negative return of about 15 percent in a month and 35 percent in 6 months.
The billionaire businessman Gautam Adani, who owns Adani Group has decided to merge some of its cement businesses. Adani Group owns cement companies like Ambuja Cement, ACC, Penna Cement, and Sanghi Industries. In this, Penna Cement and Sanghi Industries will be merged with Ambuja Cement. Due to this decision, Sanghi Cement shares are seeing a huge decline.
Sanghi Industries shares fell by about 13% in early trade on Wednesday. It had hit a level of Rs 67.01 intraday on NSE, which is its 52-week low. Sanghi Industries shares have been declining for a long time. It has given a negative return of about 15% in a month and 35% in 6 months. Sanghi Industries shares have fallen by 48% in a year. The market cap of Sanghi Industries is Rs 1.78 thousand crore.
Ambuja Cements on Tuesday announced the merger of its subsidiaries - Saurashtra-based Sanghi Industries (SIL) and Andhra Pradesh-based Penna Cement Industries Limited (PCIL) together. Ambuja, the country's second-largest cement manufacturer, said in a statement, "This consolidation will help us improve our business. Also, it will be easier to comply with the rules.''
This decision would enable billionaire Gautam Adani's cement unit to utilize the full potential of Sanghi Industries and Penna Industries. Ambuja Cement is currently competing with Aditya Birla Group firm UltraTech Cements, which is number one in the cement industry. Ambuja Cement Board endorsed the proposal of amalgamation of Sanghi Industries with Penna Cement Industries.
Another cement company that belongs to the Adani Group is ACC Limited. It stated, "The proposed acquisition of Holcim's stake in ACC and Ambuja by Adani Group will be executed through a merger after due approval." It could take upwards of 9 to 12 months. Ambuja Cements owns 58.08% of the paid-up equity share capital of Sanghi Industries. Ambuja Cements acquired it in December 2023.
