Sagar Cement wants to sell off Andhra Cement's 5% of equity shares

One of the notable promoters of Andhra Cement, Sagar cement has made up their mind of divesting their share in the company. In a BSE filing,the company is planning to divest 5% of total equity share of the company estimating Rs.46,08,607 of equity share.

In that filing, they mentioned, "Sagar Cements Limited, promoter of the company has conveyed to us its intention to sell the equity shares to enable us to comply with the requirements of minimum public shareholding."

The process of divestment will commence from 27th February and will continue till 28th February or on the date of completion of the selling of all the equity shares in few installments.

In the month of January last year, the cement company had acquired Andhra Cements from Jaypee Group.

According to the market report of the company on June, 2023, though the financials are gradually decreasing. But has shown some improvement on a sequential basis in Q3 FY23. Its EBITDA per tonne has recovered to near 400 per tonne and the good news is now that they are selling near 1.2 mt in a quarter which is 5 mt per annum.

In the Q3 of fiscal year 2023, there was seen a noticeable improvement in performance compared to previous periods. The EBITDA per tonne has rebounded to approximately 400 per tonne. Additionally, the company is now selling close to 1.2 million tonnes in a quarter, equivalent to 5 million tonnes annually.

After throwing light on shareholding pattern, in the past 1 year PI Opportunities Fund, an affiliate of Premji Invest, bought 10 percent stake at Rs.265 a share.