Binani Industries to divest cement stake

Binani Industries to divest cement stake
Published: 15 August 2005

Binani Cement, a wholly owned subsidiary of Binani Industries, India, is likely to place around 25 per cent equity stake with private equity investors. "A few investors have shown interest in picking up stake in Binani Cement," said Sunder Rajan, Executive Director, Binani Industries. He said the placement of the shares would be to fund the expansion of cement capacity and re-pay part of the debt. The company is increasing its cement capacity from 2Mta to 4Mta. However, he declined to comment on the stake size and the pricing at which the stake will be sold. The stock market too has sensed the development and the stock price of Binani Industries is on the rise in the last month.