GQG Partners Increases Stake in Ambuja Cements
GQG Partners, a leading global investment firm, has bolstered its investment in Ambuja Cements, increasing its stake by 1% with an infusion of ₹1,679 crore. This transaction was part of a larger block deal where the Adani family, which owns a significant portion of Ambuja Cements, raised ₹4,251 crore by selling shares.
According to data released by stock exchanges, GQG Partners emerged as the largest buyer in this block deal, acquiring approximately 39% of the total shares sold. With this purchase, GQG Partners now holds a 2.4% stake in Ambuja Cements. Other significant buyers included the National Pension System Trust and SBI Life Insurance, which acquired shares worth ₹525 crore and ₹500 crore, respectively.
The shares were sold at ₹625 each, slightly below the closing price of ₹633 on the day of the transaction. This block deal is part of a broader trend, with the block deal window seeing transactions amounting to ₹20,000 crore across various companies since the start of the week.
The Adani family, currently holding a 67.3% stake in Ambuja Cements, acquired the majority stake from Swiss materials firm Holcim in May 2022. This share sale is part of the family’s strategy to manage and balance their extensive portfolio, valued at $125 billion. The proceeds from this sale are likely to be funnelled into accelerating investments across the Adani Group, which has ambitious plans to invest $100 billion in the infrastructure sector over the next decade, with $15 billion earmarked for the current financial year.
This sale aligns with the Adani family’s broader plan to reduce their stakes in certain group companies by up to 3%. With several of the group’s listed companies trading at 52-week highs, this move is seen as an opportune moment to attract global investors.
Specifically, there are speculations that the family might reduce its 71.71% stake in Adani Power by selling a small portion, potentially between 0.5% and 3%, although no final decision has been made.
The strong interest from global institutional investors in the Adani Group’s companies, exemplified by GQG Partners’ significant purchase, underscores confidence in the group’s strategic initiatives and long-term growth prospects. The Adani family’s ability to secure substantial investments from renowned global firms like GQG Partners reflects the group’s robust standing in the global market.
