After the acquisition of Penna Cement, the global brokerage gave Ambuja Cement a ‘BUY’ rating, a record rise in the stock.

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New Delhi:

Yesterday, Adani Group company Ambuja Cements bought Hyderabad-based Penna Cements for Rs. 10,442 crore was announced to be acquired. After this acquisition, Adani Cement’s market share will increase by 2 percent across India and 8 percent in South India. After this, global brokerage house Adani Group looks bullish on this cement company.

Jefferies rates Ambuja Cement shares as ‘BUY’

Shares of Ambuja Cement are rated ‘BUY’ by Jefferies. Also, its target price has been kept at Rs 735. According to Jefferies, the acquisition of Penna Cement is a very important deal. This will further strengthen the market leadership of Ambuja Cement and give the company a nationwide reach.

Help in reaching the target of 140 million tonne capacity by 2028

Morgan Stanley said the acquisition will support the company’s volume by 5 percent in the medium term. The factor to watch now is how the acquisition helps the company reach its target of 140 million tonnes of capacity by fiscal 2028, say Macquarie analysts.

Global brokerage house Nuwama has also given ‘BUY’ rating to Ambuja Cement. Also, its target price has been given at Rs 767.

Penna Cement has a cement capacity of 14 MTPA.

Penna Cement has a cement capacity of 14 MTPA. 10 MTPA of them are operational. The rest is under development, which is 2 MTPA in Jodhpur and 2 MTPA in Krishnapatnam. This is expected to be completed in 6 to 12 months.

Ambuja Cement in FY 2024 To 4,738 crore profit

Ambuja Cement in FY 2024 to Rs. 4,738 crore profit was recorded. There was an increase of 119 percent year-on-year. At the same time, EBIDTA increased by 73 percent during the period to Rs. 6,400 crores.

Shares of Ambuja Cement rose 3% today

Shares of Ambuja Cement rose nearly 2 percent to Rs. 679 after trading at 679, Ambuja Cement share price saw a jump of up to 3% today. Rs. 689 reached a high of 52 percent. The week reached a high. Shares of Ambuja Cement have gained 46.14% in the last 12 months.

(Disclaimer: New Delhi Television is a subsidiary of AMG Media Networks Limited, an Adani group company.)

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