Ambuja Cements Shares Rise After Adani Group Increases Stake
Ambuja Cements' stock rose as much as 3.28% during the day to Rs 637.8 apiece on the NSE.
Shares of Ambuja Cements Ltd. rose over 3% on Thursday after its parent, the Adani Group, infused Rs 8,339 crore into the company. After the infusion, the conglomerate's stake in the cement manufacturer increased to 70.3% from 63.2% earlier. The total capital infusion by the Adani Group stood at Rs 20,000 crore under the warrants programme, according to a statement to the exchanges.
The fresh investment follows Rs 5,000 crore infused in October 2022 and Rs 6,661 crore done last month, which was for part issuance of the shares.
Ambuja Cements' stock rose as much as 3.28% during the day to Rs 637.8 apiece on the NSE. It was trading 1.6% higher at Rs 627.4 per share, compared to a 0.15% advance in the benchmark Nifty 50 as of 10:20 a.m.
The share price has risen 63.7% in the last 12 months. The total traded volume so far in the day stood at 4.2 times its 30-day average. The relative strength index was at 58.
Twenty-three out of the 40 analysts tracking the company have a 'buy' rating on the stock, nine recommend 'hold' and eight suggest 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 4.7%.