The scheme involves merging three subsidiaries—Udaipur Cement Works, Hansdeep Industries and Trading, and Hidrive Developers and Industries—into JK Lakshmi Cement.
“We would like to inform you that BSE and NSE vide their letters dated 1st January 2025, have issued their Observation Letters as required under Regulation 37 of the Listing Regulations with No adverse observation’/ No objection’, to the proposed scheme,” JK Lakshmi Cement said in a BSE filing.
On July 31, 2024, the board of JK Lakshmi Cement had approved the amalgamation scheme, which will simplify the group structure and make it more commercially meaningful to have one combined entity focused in the business of cement and cement products.
For Udaipur Cement Works Ltd (UCWL), its shareholders will receive four shares of JK Lakshmi Cement for every 100 shares they hold in the company.
Giving the go-ahead, bourses have directed the parties to disclose all details about the companies before the Jaipur Bench of the National Company Law Tribunal.The company shall also ensure that the financials in the scheme, including financials considered for valuation reports, are not for periods more than 6 months old.JK Lakshmi Cement has a combined capacity of 16.5 million tonne per annum (MTPA) in FY24. Its revenue was at Rs 6,319.77 crore. UCWL’s revenue in FY24 was Rs 1,163.59 crore.
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JK Lakshmi Cement shares target price
As per Trendlyne data, the average target price of JK Lakshmi Cement shares is Rs 849, which indicates an upside potential of 2% from the current market prices. The consensus recommendation from 16 analysts for the stock is a ‘Hold’.
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JK Lakshmi Cement shares performance history
On Thursday, JK Lakshmi Cement shares closed at Rs 834.7, up 0.11% on the BSE, while the benchmark Sensex rallied 1.83%. The stock has surged 6% in the past three months and 44% over the past three years, with the company’s market capitalization now at Rs 9,822 crore.
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