Shree Cement today said its board approved acquisition of majority stake in the UAE-based Union Cement Company (UCC) for USD 305.24 million.
"Our board has approved acquisition of minimum of 92.83 per cent of beneficial shareholding in Union Cement for an enterprise value of USD 305.24 million," the company said in a statement.
The transaction is expected to be completed in around nine months," it added.
With this acquisition, cement capacity of Shree Cement will increase from present 29.3 million tonne per annum to 33.3 mt. The acquisition will also help it create its first footprint outside the country, it said.
Established in 1972, is one of the leading cement makers in the UAE, UCC is traded on the Abu Dhabi Securities Exchange (ADX). It has operations in the Emirates of Ras Al- Khaimah with a clinker capacity of 3.30 mt and cement capacity of 4 mt.
Meanwhile, Shree Cement today reported a 41.58 per cent increase in its standalone net profit at Rs 333.33 crore for the quarter ended December.
Total income during the quarter stood at Rs 2,383.53 crore as against Rs 2,226.79 crore in the year-ago period, up 7.03 per cent.
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