L&T Creates a New Unit for Green Hydrogen and Ammonia Sector

Larsen & Toubro Limited, a leading Indian conglomerate in engineering and construction, has taken a significant step towards expanding its green energy footprint. On 4 April 2025, the company announced the incorporation of L&T Green Energy Kandla Private Limited (LTGEK), a wholly owned step-down subsidiary under L&T Energy Green Tech Limited. This development aligns with L&T’s focus on renewable energy, particularly green hydrogen.

Formation and Structure of LTGEK

LTGEK has been established with an authorised capital of ₹1,00,000, comprising 10,000 equity shares of ₹10 each. The entire capital is subscribed in cash by L&T Energy Green Tech Limited and its nominee shareholder. While the company is yet to commence operations, it falls under the related party framework, though at arm’s length with no direct promoter group involvement. The acquisition required no external regulatory approvals, making the incorporation swift and compliant.

Strategic Focus on Green Hydrogen

The primary objective of LTGEK is to develop projects related to green hydrogen and its derivatives such as green ammonia. The company has been incorporated solely for this purpose and will engage in other related activities in the renewable sector. With India increasingly shifting towards clean energy, L&T’s move places it in a strong position to contribute to and benefit from this transition. Though LTGEK currently has no operational or financial history, it represents a forward-looking investment in sustainable infrastructure.

L&T Share Performance 

As of April 07, 2025, at 11:10 AM, L&T share price is trading at ₹3,055.00 per share, reflecting a loss of 6.29% from the previous day’s closing price. Over the past month, the stock has registered a decline of 5.85%.

Conclusion

By setting up LTGEK, L&T reaffirms its commitment to building a sustainable future. The strategic push into green hydrogen through this subsidiary strengthens its role in India’s clean energy mission and sets the stage for future-ready energy solutions.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Tata and Bajaj Mutual Funds File Draft with SEBI for New Schemes

Tata Income Plus Arbitrage Active Fund of Fund (FOF) and Bajaj Finserv Nifty 50 Index Fund have filed their draft documents with SEBI. Below is a summary of features from both schemes.

Tata Income Plus Arbitrage Active FOF

Tata Mutual Fund has filed for an open-ended Fund of Fund scheme under the active hybrid category. The fund will invest in a combination of debt-oriented mutual fund schemes and arbitrage-based equity mutual fund schemes.

  • Investment Objective: Long-term capital appreciation by investing in domestic mutual funds, including debt and arbitrage schemes. No guarantee of achieving the objective.
  • Asset Allocation:
    • 55% to 65% in debt-oriented mutual fund schemes
    • 35% to 40% in arbitrage-based equity mutual fund schemes
    • Up to 5% in debt and money market instruments
  • Minimum Investment: ₹5,000 (initial), ₹1,000 (additional)
  • Exit Load: 0.25% if units are redeemed within 30 days
  • Benchmark: 60% CRISIL Composite Bond Fund Index + 40% Nifty 50 Arbitrage Index (TRI)
  • Plans: Regular and Direct, with Growth and IDCW (Payout/Reinvestment) options
  • NAV Disclosure: Published by 11 PM on the next business day

The scheme will not engage in short-selling or stock lending. SIP, STP, and SWP facilities will be available. The face value per unit is ₹10.

Bajaj Finserv Nifty 50 Index Fund

Bajaj Finserv has proposed an open-ended equity scheme tracking the Nifty 50 TRI. It aims to replicate the index’s performance, subject to tracking error.

  • Investment Objective: Replicate returns of the Nifty 50 Index through investment in its constituent stocks.
  • Category: Index Fund
  • Minimum Investment: ₹500 (lump sum and SIP)
  • Exit Load: Nil
  • Benchmark: Nifty 50 Total Return Index (TRI)
  • Plans: Regular and Direct with Growth and IDCW options
  • NAV Disclosure: Before 11 PM on all business days

The scheme offers daily, weekly, fortnightly, monthly, and quarterly SIP options, along with Wealth SIP and SWP facilities.

Conclusion

Both schemes are currently in the draft stage. Once approved, they will offer two distinct approaches – Tata’s hybrid allocation model and Bajaj Finserv’s index-tracking strategy.

Want to plan regular withdrawals? Our SWP Calculator helps you calculate how much you can withdraw while keeping your investments intact. Try it now!

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Mutual Fund investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

NFO: Kotak Mutual Fund Launches Index Fund and ICICI Mutual Fund Extends NFO Period

EV-focused strategy and a fresh top 10 large-cap equal weight play enter the market with new details and timelines.

EV & New Age Auto ETF FOF Gets Extension

ICICI Prudential Mutual Fund has extended the NFO period for its Nifty EV & New Age Automotive ETF Fund of Funds by one day. Originally slated to close on April 10, 2025, the new closing date is now April 11, 2025. This extension gives investors a little more time to tap into the automotive sector via a passive strategy that mirrors the Nifty EV & New Age Automotive Index.

This fund aims to provide exposure to companies shaping the future of mobility, think electric vehicles, advanced auto tech, and mobility services. It’s a Fund of Fund (FOF), which means it invests in another ETF instead of buying the underlying stocks directly.

Kotak Nifty Top 10 Equal Weight Index Fund

Meanwhile, Kotak Mahindra Mutual Fund has launched the Kotak Nifty Top 10 Equal Weight Index Fund – Direct Plan. This open-ended equity scheme is for those looking to ride on India’s ten most influential large-cap stocks but with a twist.

Unlike traditional cap-weighted funds, this one follows an equal weight strategy, giving 10% weightage to each of the top 10 companies in the Nifty 50 Index, regardless of market cap. This helps avoid concentration in just a few large players and allows balanced exposure across the top 10.

  • NFO Period: April 7– April 21, 2025
  • Category: Equity – Large Cap
  • Minimum Investment: ₹100
  • Plans Available: Growth & IDCW
  • Exit Load: None
  • Riskometer: Very High
  • Benchmark: Nifty Top 10 Equal Weight TRI
  • Fund Manager: Devender Singhal
  • Registrar: Computer Age Management Services Ltd.

Conclusion

Both offerings cater to forward-looking investors; ICICI’s FOF leans into the EV revolution, while Kotak’s new fund brings an equal-weighted approach to large caps. With low entry points and strategies, these NFOs add interesting options to the April lineup for equity-focused investors.

Plan your SBI SIP investments better! Use our easy-to-use SBI SIP Calculator and estimate future returns with just a few clicks. Your financial growth starts here.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Mutual Fund investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Refex Green Power Secures Major Waste-to-Energy Project in Coimbatore

In a significant step towards sustainable infrastructure and renewable energy, Refex Green Power Limited—a wholly-owned subsidiary of Refex Renewables & Infrastructure Limited—has won a prestigious government contract.

The tender, offered by the Coimbatore Municipal Corporation, pertains to the establishment of a municipal solid waste-based Bio-CNG plant in Tamil Nadu. The project stands as a strong commitment under India’s Public-Private Partnership (PPP) initiatives, fostering cleaner energy and efficient waste management.

Project Overview and Key Details

The awarded tender involves setting up a 250 TPD (tonnes per day) Bio-CNG plant based on municipal solid waste under the Design, Build, Finance, Operate and Transfer (DBFOT) model. This initiative will be developed over a concession period of 20 years.

The estimated project cost stands at ₹78.54 crore, and the project is to be fully operational within 19 months from the signing of the Concession Agreement, which is expected to be finalised within 30 days of the Letter of Acceptance (dated 5 April 2025).

This initiative is part of the Swachh Bharat Mission Urban 2.0 – Solid Waste Management programme, reinforcing the central government’s push for sustainable urban infrastructure.

The Coimbatore Municipal Corporation, a domestic entity, is spearheading the project, which is entirely within Indian jurisdiction. Importantly, there are no related party transactions involved, and the promoter group of Refex has no direct interest in the awarding authority.

Strategic Implications and Future Outlook

The partnership between Coimbatore Municipal Corporation and Refex Green Power signifies a pivotal moment for urban waste management in India. Leveraging private sector efficiency and public sector reach, the project aligns with broader national goals of creating smart, green cities.

This development not only enhances Refex’s portfolio in the renewable energy sector but also demonstrates the trust placed in its capabilities by governmental bodies.

Moreover, such ventures pave the way for replicable models across the country, addressing the pressing issues of urban waste disposal and clean energy production. As the plant progresses through its stages, it is expected to serve as a benchmark in India’s transition towards cleaner alternatives and reduced carbon footprints.

Refex Renewable Share Performance 

As of April 07, 2025, at 10:15 AM, Refex Renewable share price is trading at ₹620, reflecting a loss of 4.30% from the previous day’s closing price. Over the past month, the stock has registered a decline of 4.20%.

Conclusion

Refex Green Power’s achievement in securing the Coimbatore Bio-CNG project marks a substantial advancement in India’s waste-to-energy sector. With defined timelines and transparent governance, the initiative is set to become a model for sustainable infrastructure under public-private collaborations.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Godrej Properties Expands Mumbai Presence with Versova Land Deal for ₹1,350 Crore

Godrej Properties Ltd has acquired its first land parcel in Versova, located in the Andheri West region of Mumbai. The proposed project will span approximately 4.4 lakh square feet of saleable area and is expected to generate an estimated revenue of ₹1,350 crore, according to a recent company filing.

As of 9:29 am on April 7, Godrej Properties share price was trading at ₹1960.60, a 5.19% down, with the stock declining 27.62% over the past six months and 20.15% over the past year.

Location 

Versova is a residential suburb in the western part of Mumbai. The area is connected through the Versova Metro station, Western Express Highway, and Link Road. Additionally, the under-construction Bandra-Versova Sea Link (BVSL) is to improve connectivity further, linking Versova to Bandra and South Mumbai. 

The locality also includes educational institutions, hospitals, entertainment spaces, and access to nearby business districts.

Focus of the Development

The project will primarily consist of premium residential units of varying configurations. The revenue potential mentioned is based on current business assumptions, as per the company’s official press release.

Part of a Larger Growth Strategy

As per the filing, this land acquisition is part of Godrej Properties’ expansion in the Mumbai Metropolitan Region (MMR), which remains one of the company’s focus markets, along with Delhi-NCR, Bengaluru, and Pune. In FY2025, the Mumbai region recorded sales of ₹5,155 crore, marking a 104% year-on-year growth.

Gaurav Pandey, MD & CEO, Godrej Properties, said, “This is our first land acquisition in Versova and reflects our confidence in the area’s potential. It further strengthens our presence in Mumbai and aligns with our growth strategy, which focuses on delivering high-quality developments in high-demand micro-markets.”

Performance Overview

In the calendar year 2024, Godrej Properties reported a booking value of ₹28,800 crore, reflecting a 69% year-on-year increase. The company sold 26.38 million square feet during the same period. The December 2024 quarter was also the sixth consecutive quarter with over ₹5,000 crore in booking value.

Conclusion

The Versova acquisition is an addition to Godrej Properties’ Mumbai portfolio, with a focus on premium residential development. The project fits into the company’s strategy of expanding in urban micro-markets with high demand and improving infrastructure, as per the filing.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Dr. Reddy’s Receives ₹2,395 Crore Notice from Income Tax Department

Dr. Reddy’s Laboratories Ltd recently received a show-cause notice from the Office of the Assistant Commissioner of Income Tax, Circle 8(1), Hyderabad. The notice was issued under Section 148A(1) of the Income Tax Act, 1961. It relates to the reassessment of income for the assessment year 2020–21 (financial year 2019–20).

As of 9:40 am on April 7, 2025, Dr. Reddy’s Laboratories share price was trading at ₹1,089, a 1.89% down, with a decline of 15.73% over the past six months and 9.79% over the past year.

Reason for the Proposed Demand

The notice refers to the merger of Dr. Reddy’s Holdings Ltd (DRHL) into Dr. Reddy’s Laboratories Ltd (DRL). This merger was part of a scheme of amalgamation that was approved by the National Company Law Tribunal (NCLT), Hyderabad, on April 5, 2022, with effect from April 1, 2019. 

According to the income tax department, income may have escaped taxation as a result of this merger.

Demand Raised

The notice proposes a tax demand of ₹2,395.81 crore (₹23,95,81,79,470). The tax authority has asked the company to respond on why a notice under Section 148 should not be issued for the assessment of the income in question.

Company’s Filing

Dr. Reddy’s stated in a regulatory filing dated April 5, 2025, that the merger was conducted in compliance with all legal and tax requirements. The company has also mentioned that it is in the process of reviewing the notice and will respond with the necessary information and clarifications as required.

According to the company, there is no material impact on its financials, operations, or other activities at this stage due to the notice.

Promoter Indemnity Clause

The merger scheme includes a clause stating that the promoters of the company will jointly and severally indemnify Dr. Reddy’s Laboratories Ltd and its associated personnel against any liabilities arising from the amalgamation.

Conclusion

The company has not yet issued a formal response to the tax authority. Further updates may follow based on the outcome of the review and response process.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Tata Capital Files for ₹15,000 Crore IPO via Confidential Route

As per news reports, Tata Capital, a non-banking financial services company under Tata Sons, has filed draft papers with SEBI for an Initial Public Offering (IPO) exceeding ₹15,000 crore. The filing was done via the confidential pre-filing route. 

The IPO will include both a fresh issue of up to 2.3 crore equity shares and an offer for sale (OFS) by existing shareholders, primarily Tata Sons and IFC.

Confidential Pre-Filing Mechanism

The confidential route, introduced by SEBI in 2022, allows companies to file draft papers without immediate public disclosure. It offers the option to withdraw or revise the offering before making the information public. Tata Capital becomes the eighth Indian company to use this mechanism, following others like Tata Play, Oyo, and Swiggy.

Shareholding and Regulatory Requirements

As of March 31, 2024, Tata Sons holds a 92.83% stake in Tata Capital. The IPO is part of compliance with the Reserve Bank of India’s regulation requiring “upper-layer” NBFCs to list within three years of classification. Tata Capital received this classification in September 2022.

Merger and Fundraising 

In February 2025, Tata Capital’s board approved a ₹1,504 crore rights issue, fully subscribed by Tata Sons. The company is also undergoing a merger with Tata Motors Finance Ltd (TMFL). The boards of Tata Capital, Tata Motors, and TMFL approved the merger in June 2024. Post-merger, Tata Motors is expected to hold a 4.7% stake in Tata Capital. Final approval from the NCLT is pending.

Advisors and Timeline

Tata Capital has appointed ten investment banks, including Kotak Mahindra Capital, Citi, JP Morgan, Axis Capital, and ICICI Securities, as advisors. Legal advisory is being handled by Cyril Amarchand Mangaldas. The draft filing was expected by March-end or early April.

Financial Position

As of March 31, 2024, Tata Capital reported assets under management (AUM) of ₹1.58 lakh crore, compared to ₹1.19 lakh crore the previous year. Over the past five years, Tata Sons has infused ₹6,097 crore into Tata Capital.

Conclusion

The IPO shows development in Tata Capital’s path to meet regulatory listing requirements for upper-layer NBFCs. Final approval from the NCLT and prevailing market conditions will determine the timeline for the public offering.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

ITC Invests ₹131 Crore to Pick 43.75% Stake in Ample Foods

ITC Limited has acquired 2,62,500 equity shares of Ample Foods Private Limited (AFPL) at a face value of ₹10 each, for a total cash consideration of approximately ₹131 crore. The acquisition includes both primary subscription and secondary share purchases. Following this transaction, ITC holds 43.75% of the total share capital of AFPL.

As of 9:34 AM on April 7, 2025, ITC Ltd share price was trading at ₹407, a 0.66% down,  with a 19.78% decline over the past six months and a 4.61% drop over the past year.

About Ample Foods

AFPL is engaged in the business of manufacturing and selling various food products. These include ready-to-cook snacks and meals, sauces and condiments, deli meats, marinades, cheese, and frozen food items. The products are sold under the brand names “Prasuma” and “Meatigo” through offline retail stores, online platforms, and D2C websites: prasuma.com and meatigo.com.

The company was incorporated on December 17, 1993, and operates within India. It has expanded its product lines in recent years.

Financials of the Target Business

AFPL, along with its related businesses – Chao Chao Foods Private Limited and Meat and Spice Private Limited (MSPL) reported a consolidated turnover of:

  • ₹131 crore in FY 2023-24
  • ₹111 crore in FY 2022-23
  • ₹91 crore in FY 2021-22

AFPL alone reported a turnover of ₹116 crore in FY 2023-24, ₹98 crore in FY 2022-23, and ₹74 crore in FY 2021-22. MSPL reported ₹42 crore in FY 2023-24, ₹44 crore in FY 2022-23, and ₹46 crore in FY 2021-22. As per the reports, The frozen, chilled, and ready-to-cook foods market in India is currently valued at over ₹10,000 crore.

Regulatory and Structural Notes

The acquisition does not require regulatory approvals and is not a related party transaction. The deal was executed as per definitive agreements signed on February 6, 2025, and closed on April 4, 2025.

Conclusion

With this acquisition, ITC adds a stake in a growing food business operating across multiple product categories and sales channels.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Tata IPL 2025: Opening Stand- The Role of a Strong Financial Start in Wealth Building

In cricket, the opening stand is the foundation upon which the entire innings is built. A strong opening partnership sets the tone for the rest of the match. It contributes significantly to the team’s performance, and provides the confidence needed to face challenging conditions.

In the realm of investing, a well-planned financial start lays the groundwork for long-term wealth building. By starting early and investing consistently through mechanisms like Systematic Investment Plans (SIPs), you create a robust foundation for your financial innings.

Laying the Foundation: Solid Starts Are Vital

Imagine a cricket match where the openers not only survive the initial onslaught but also accumulate crucial runs. Their ability to read the pitch, assess the bowler’s strategy, and adapt their shot selection determines the match’s tempo.

In investing, the early decisions you make—how much to invest, how consistently you invest, and when you enter the market—play an equally vital role. A strong financial start means setting clear goals. It means developing a disciplined strategy, and sticking to a plan that harnesses the power of compounding over time.

SIPs are one of the most effective tools for this purpose. They allow you to invest a fixed amount at regular intervals, mitigating the risk of market volatility and benefiting from rupee cost averaging. Just as a disciplined opening pair in cricket avoids rash decisions and focuses on building a steady partnership, a SIP helps you remain focused on your long-term financial goals, regardless of short-term market fluctuations.

Streamline the Process: One-Click SIP

In the opening partnership, pressure is high – especially during the chase. The difference between good and great performance lies in the ability to execute under pressure with minimal fuss.

Similarly, in the fast-paced world of finance, convenience and efficiency are critical. That’s why, AngelOne’s One-Click SIP feature simplifies the process of setting up an SIP. This allows you to initiate your investment journey with just a few taps.

Imagine being at the crease with a clear strategy, and every shot you play is executed with confidence and precision.

One-Click SIP gives you this reliable batting technique that minimizes hesitation—once you’ve made your decision, you can quickly get into the flow of the game without overcomplicating things.

Plan Your Innings Wisely: The SIP Calculator

In the opening partnership, the batsmen don’t take undue risks. If the target is big, they execute big hits. Otherwise, they build a foundation with singles and doubles.

Similarly, investors need to choose their investments according to their targets. The SIP Calculator is a crucial instrument for this purpose. It estimates the potential growth of your SIP investment over your chosen time frame by taking into account variables like the investment amount, the expected rate of return, and the duration of the investment.

Think of the SIP Calculator as run rate projections that show where the team will stand at the end of the match. It helps you understand how your small, regular investments will grow over time.

Whether you are planning to invest a fixed amount regularly or considering a lumpsum addition, the SIP Calculator provides clarity and foresight, enabling you to fine-tune your strategy for maximum impact.

Ride the Wave: The Power of Compounding

The opening stand is more than just the initial burst of runs. It determines what will be expected from the middle order, and how much risk needs to be taken by the batsmen following the openers. A solid opening allows the middle order to bat more confidently and post a formidable total.

In investing, the concept of compounding works in a similar manner. Early investments, when left to grow over time, accumulate returns not just on the principal but also on the reinvested earnings. This compounding effect can turn modest beginnings into substantial wealth over the long haul.

The beauty of an SIP lies in its ability to harness this power. By committing to regular investments through a SIP, you ensure that your money works for you, growing gradually and steadily.

Just as a great opening stand boosts the confidence of the entire team, a disciplined SIP strategy reinforces your financial foundation and keeps you on track to achieve your long-term goals.

Read More: Tata IPL 2025: IPL & Investing: How Captains and Portfolio Managers Think Alike?

Adapting to Changing Conditions

Cricket matches, like markets, are not predictable. The pitch might deteriorate, the weather might change, or the opposition might alter their tactics.

A successful opening pair adapts to these changes, adjusting their strategy to maintain stability. In the world of investing, market conditions are equally dynamic. Economic cycles, market volatility, and changing financial landscapes require you to be flexible with your strategy.

By utilizing tools like One-Click SIP and the SIP Calculator, you can make the course corrections needed to play confidently amidst changing conditions. This proactive approach ensures that your financial plan remains robust, even when the market throws unexpected challenges your way.

A Winning Strategy for Long-Term Success

Remember, every great innings starts at the top of the order. By setting clear goals, investing consistently, and adapting to changing conditions, you pave the way for a successful financial future.

So step up to the crease, plan your strategy, and let your opening stand be the catalyst that drives your wealth-building journey to new heights.

Read More: Tata IPL 2025: Stock Diversification; How Picking Stocks Is Like Building an IPL Squad?

Disclaimer: This blog has been written exclusively for educational purposes. http://bit.ly/usSGoH

NCLT Clears Nuvoco Vista’s ₹1,800 Crore Acquisition Plan for Vadraj Cement

The National Company Law Tribunal (NCLT), Mumbai Bench, has approved Nuvoco Vistas Corporation Ltd.’s resolution plan to acquire Vadraj Cement Ltd. for ₹1,800 crore. The acquisition will be carried out through Vanya Corporation Pvt. Ltd., a wholly owned subsidiary of Nuvoco. After completion, Vanya will merge with Vadraj Cement, making it a 100% subsidiary of Nuvoco.

As of 9:42 AM on April 7, 2025, Nuvoco Vistas Corporation share price was trading at ₹300.90, a 4.88% down, up 1.89% over the past five days, but down 10.04% in the last six months.

Capacity Addition 

Following the acquisition, Nuvoco’s total cement manufacturing capacity is expected to increase by over 20%, from 25 million tonnes per annum (MTPA) to approximately 31 MTPA. Vadraj Cement currently has a 3.5 MTPA clinker unit in Kutch and a 6 MTPA grinding unit in Surat. The company also owns limestone reserves and operates a captive jetty in Kutch.

Investment Plans

Nuvoco plans to invest an additional ₹1,000 – ₹1,200 crore to operationalise Vadraj Cement’s assets, which have been inactive for nearly seven years. This investment will be phased over 15-18 months after the official handover. Production is targeted to commence in the third quarter of FY27.

Funding and Structure

The ₹1,800 crore consideration will be paid in cash, and the company has stated that it intends to fund the transaction without an increase in its consolidated debt. The resolution plan includes steps such as increasing Vadraj’s authorised share capital, cancelling existing equity, and issuing new shares to the implementing entity.

Timeline and Approvals

The implementation of the resolution plan is expected within 45 days from the date of approval. The merger process between Vanya and Vadraj Cement is projected to complete within 47 days. Nuvoco has also sought multiple regulatory approvals and reliefs for seamless implementation.

Conclusion

The acquisition process is expected to conclude within the next few weeks, followed by phased investments to restart operations at Vadraj Cement’s facilities. Production is likely to begin by the third quarter of FY27. Once completed, the transaction will bring Vadraj Cement under the full ownership of Nuvoco Vistas.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.