ACC, Ambuja Cements shares tank over 5% on concerns over encumbrance

The Adani group holds 63.15 per cent in Ambuja Cements and 56.69 per cent in ACC (of which 50.05 per cent is held through Ambuja Cements)

Shares of ACC and Ambuja Cements fell sharply on Wednesday on concerns around high encumbrance. A day earlier, the Adani Group had announced that it has signed a non-dealing undertaking (NDU) with foreign banks on its entire stake in the two newly-acquired cement companies to raise funds for their acquisitions.

Shares of ACC fell 7.2 per cent while Ambuja Cements ended 5.7 per cent lower. Other group stocks, with the exception of Adani Wilmar, also finished lower. Group’s flagship firm, Adani Enterprises, dropped 5.1 per cent.

Market experts said that there are concerns around the group’s high debt levels after