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N. Srinivasan Steps Down As CEO, MD of India Cements After CCI Approves UltraTech’s Deal.

N.Srinivasan resigned as chief executive officer of India Cements on Wednesday, a day after the CCI gave its nod

N. Srinivasan Steps Down As CEO, MD of India Cements After CCI Approves UltraTech’s Deal.

N.Srinivasan resigned as chief executive officer of India Cements on Wednesday, a day after the CCI gave its nod for the Rs 7,000-crore deal.

N. Srinivasan resigned from the post of Chief Executive Officer (CEO) of India Cements on Wednesday, as the Competition Commission of India (CCI) granted the Rs 7,000-crore deal to UltraTech Cement, which is owned and promoted by the billionaire industrialist Kumar Mangalam Birla, to acquire a significant percentage of India Cements Ltd (ICL).

Srinivasan is said to have resigned from the post of Vice Chairman and Managing Director on the completion of a transaction that caused the present promoters to cease control of the company, as per the company filing with the stock exchange. In addition to this, it has removed Rupa Gurunath, daughter of Srinivasan, and spouse Chitra Srinivasan; and to this effect, even V. M. Mohan has quit the company’s board.

The ICL had confirmed that the entire control of UltraTech Cement has completely entered into the hands of the company and would henceforth be considered as a promoter under the LODR Regulations following the completion of the transaction on 24 December 2024.

It also took the record of resignations from independent directors S. Balasubramanian Adityan, Krishna Srivastava, Lakshmi Aparna Sreekumar, and Sandhya Rajan from the close of business hours on December 25, 2024. Instead, K.C Jhanwar, Vivek Agrawal, E.R. Raj Narayanan, and Ashok Ramachandran have been appointed as new four directors. Adding to the mix, the board also welcomes three independent directors: Alka Bharucha, Vikas Balia, and Sukanya Kripalu- joining ICL.

India Cements’ filing stated that the erstwhile promoters, namely N. Srinivasan, Chitra Srinivasan, Rupa Gurunath along with many connected entities, have divested all their equity shares in the company and have ceased to belong to the promoter group.

In an epistolatory expression, N. Srinivasan described the reason for resigning, stating that he had divested his entire holding in India Cements. He assured thereby resigning as Vice Chairman, Managing Director, Director and CEO with immediate effect as per the Share Purchase Agreement dated July 28, 2024.The CCI had earlier approved the acquisition of 32.72% equity share capital of India Cements from its promoters and affiliates by UltraTech and also for an open offer to obtain as much as 26% of company shares. UltraTech Cement is into the manufacturing of grey cement, white cement, ready mix concrete, and various other construction materials and sells them in India.

The deal was subjected to the approval of the CCI, which was meant to keep a guard on fair business practices by ensuring that there were conditions of competition in the marketplace.

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