Birla Corp shares close 19.27% higher on Lafarge deal

Shares of Birla Corporation rose nearly 16 per cent on Monday after the company said it would acquire two cement units from Lafarge India having a capacity of 5.15 million tonnes per annum for Rs 5,000 crore.

Following the news, shares of the company soared 15.68 per cent to Rs 524 at BSE.  The stock closed 19.27% higher on BSE.

Birla Corporation in a BSE filing said, "It has agreed to a transaction with Lafarge India Private Ltd, whereby Birla Corp, either directly or through its wholly owned subsidiary, shall acquire both the Jojobera and Sonadih cement businesses (acquisition business) from Lafarge India for an enterprise value of Rs 5,000 crore."

Birla said it will acquire the cement business, comprising an integrated cement unit at Sonadih (Chhattisgarh), a cement grinding unit at Jojobera (Jharkhand), along with Concreto and PSC brands.