Ambuja Cement Shares Jump 2.5% After Acquiring Orient Cement; Stocks In Focus Today

Shares of Ambuja Cement surged over 2% in today's trade after the company received approval from the Competition Commission of India (CCI) to acquire up to a 72.8% stake in Orient Cement Limited.

Ambuja Cements Shares Today

Ambuja Cements shares surged 2.5% in today's trade, currently trading at Rs.487.30.In the last five trading sessions, Ambuja Cements shares have gained 4.30%. However, the stock has declined 6.61% over the past month and witnessed a significant drop of 22.88% in the last six months. Year-to-date (YTD), the stock is down by 9.52% due to sectoral challenges.

Ambuja Cements and Orient Cement Acquisition{image- www.goodreturns.in}

Ambuja Cements Limited, a subsidiary of the Adani Group, has received approval from the Competition Commission of India (CCI) to proceed with its acquisition of Orient Cement Limited. Following the completion of the deal, Ambuja Cements will hold a controlling 72.8% stake in Orient Cement.

In an official filing, Ambuja Cements stated, "The Competition Commission of India (CCI), through its letter dated March 4, 2025, has unconditionally approved the proposed acquisition under Section 31(1) of the Competition Act, 2002."

Ambuja Cements Share Price Target & Industry Outlook

According to a report by Systematix," The Indian cement industry is poised for steady growth, with demand projected to rise by 4%-5% in FY25 and further accelerate to 6%-7% in subsequent years."

"Cement prices have shown a strong recovery, with the all-India average price rebounding to ₹371 per bag, marking a 10% increase from the August 2024 low of ₹337 per bag. This upward trend is expected to continue as companies shift their focus from consolidation to organic growth, improving efficiency, margins, and overall performance."

"Since the end of Q3 FY25, cement prices across most regions have increased by 3%-4%, supported by seasonal demand. While manufacturers are targeting a price hike of ₹20-₹25 per bag, the sustainability of these increases remains uncertain. Some companies may prioritize volume growth over pricing discipline to meet year-end sales targets, which could impact price stability."

"Additionally, demand fluctuations due to the Holi festival may temporarily affect certain regions. However, the long-term outlook remains positive, with Ultratech and Ambuja Cements emerging as top picks in the sector. Systematix has set a target price (TP) of ₹12,660 for Ultratech Cement and ₹654 for Ambuja Cements."

About Ambuja Cement

Ambuja Cements Limited, a part of the Adani Group, is one of India's leading cement manufacturers. Established in 1983, the company has built a strong presence in the cement and construction industry, known for its high-quality products, sustainable practices, and innovation-driven approach.

Disclaimer: The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.