Fast-moving consumer goods (FMCG) giant ITC Limited is set to acquire Aditya Birla-owned paper-producing firm Pulp & Paper Undertaking for a sum of ₹3,498 crore to strengthen its speciality paper and paperboard business, according to an exchange filing on Monday, March 31.
“The acquisition will strengthen the market standing of ITC’s Paperboards and Specialty Papers Business and engender new opportunities in the domestic and international markets,” said B Sumant, Executive Director at ITC Limited, in an official statement.
According to an exchange filing from Aditya Birla Real Estate, the divestment move is aimed at unlocking value for the firm so that it can continue to pursue growth opportunities in the real estate sector.
This deal is subject to the necessary statutory and regulatory approval, including that of the Competition Commission of India (CCI) and the company shareholders. JM Financial is acting as the financial advisor for the deal, and AZB and Partners is the legal advisor to Aditya Birla for this deal.
Aditya Birla Real Estate Share Price
Aditya Birla Real Estate shares closed 4.56 per cent higher at ₹1,969.20 after Friday’s stock market session, compared to ₹1,881.75 at the previous market close. Stock markets remained shut on Monday, March 31, on the account of Eid-ul-Fitr.
Aditya Birla Real Estate shares have given stock market investors more than 580 per cent returns on their investment in the last five years and 15.15 per cent returns in the last one-year period. However, the stock has lost 4.86 per cent in the last five stock market sessions.
ITC Share Price
ITC shares closed 0.10 per cent higher at ₹409.80 after Friday’s stock trading session, compared to ₹409.40 at the previous market close.
ITC shares have given stock market investors 139.83 per cent returns in the last five-year period.
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