The company said the acquisition is aimed at meeting its green energy requirements, optimising energy costs and complying with regulatory requirements for captive power consumption under electricity laws.
As part of the transaction, UltraTech Cement will invest ₹12.09 crore to acquire the 13.99% stake in FPEL Services.
Separately, The India Cements Ltd, a subsidiary of UltraTech Cement, has also entered into similar agreements to acquire a 12.48% equity stake in FPEL Services for ₹10.78 crore.
The proposed acquisition is not a related-party transaction, and neither the promoter nor promoter group entities have any interest in the target company, UltraTech said in its filing.
The transaction is expected to be completed within 180 days from the execution of the Energy Supply Agreement and the Share Subscription and Shareholders Agreement, said the company.
Q4FY26 results
UltraTech had reported a 21.2% growth in its net profit for the March quarter to ₹3,000 crore. The figure was higher than the CNBC-TV18 poll of ₹2,749 crore.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter also grew by 21.3% on a year-on-year basis to ₹5,600.5 crore. A CNBC-TV18 poll had projected the figure to be ₹5,194 crore.
Shares of UltraTech Cement closed at ₹10,860 on the NSE on June 10, down ₹51 or 0.47% from the previous close.
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