France-headquartered Vicat will also purchase 6.67 per cent stake in Sagar Cements at Rs 700 per share, more than double than its current market price at rs 385. Sagar Cement's stock was trading at Rs 385.15, nearly 2.42 per cent higher than Monday's close.
Dr Anand Reddy, joint managing director of Sagar Cements said, "this transaction gives us the opportunity to expand our scale and size and consequently strengthn our competitive position. We also look forward to leverage on Vicat's high degree of experience and expertise in fields like waste fue; and product development.''
Added Gy Sidos, chief executive of Vicat SA, "this operation results from methodical and determined efforts in the Indian market decided by chariman of Vicat, jaques Merceron-Vicat.''
Vicat Group has operations in nine countries in Noth America, Europe, Middle East and Asia.