27 NOVEMBER 2013www.moneycontrol.com
Aditya Birla Group plans to hike stake in Hindalco
Edited by : AL CIRCLE
1 min read
Home-grown conglomerate Aditya Birla Group aims to hike stake in group companies. CNBC-TV18 learns from sources the AB Group may spend Rs 6,000 crore for stake hike. It is looking to hike stake in Hindalco and Grasim to 40-45 percent.
As of June 30, 2013, promoters' holding in Hindalco stood at 33 percent and that in Grasim at 25.5 percent. Sources say the group plans to buy 8 percent (valued at 1,955 crore at CMP) in Hindalco and 19.5 percent (valued at 4,600 crore at CMP) in Grasim.
The AB Group is likely to use creeping acquisition and open market purchases. Sources say hiking stake in Grasim is top priority for the group to thwart any bid for a hostile takeover. In June, promoters raised stake in Aditya Birla Nuvo Limited to 53.75% and their stake in Ultratech stands at a comfortable 61.96%. The group official declined to comment to a CNBC-TV18 query on the subject.
As of June 30, 2013, promoters' holding in Hindalco stood at 33 percent and that in Grasim at 25.5 percent. Sources say the group plans to buy 8 percent (valued at 1,955 crore at CMP) in Hindalco and 19.5 percent (valued at 4,600 crore at CMP) in Grasim.
The AB Group is likely to use creeping acquisition and open market purchases. Sources say hiking stake in Grasim is top priority for the group to thwart any bid for a hostile takeover. In June, promoters raised stake in Aditya Birla Nuvo Limited to 53.75% and their stake in Ultratech stands at a comfortable 61.96%. The group official declined to comment to a CNBC-TV18 query on the subject.
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