Ambuja Cements Limited commenced trading of equity shares allotted to eligible shareholders of Sanghi Industries Limited pursuant to the Scheme of Arrangement. Trading of these shares began on June 30, 2026, after the company received trading approvals from the National Stock Exchange of India Limited (NSE) and BSE Limited (BSE). The development follows the completion of the merger process, which was sanctioned by the Hon’ble National Company Law Tribunal, Ahmedabad Bench, via an order dated February 9, 2026.

The Scheme of Arrangement between Sanghi Industries Limited, the Transferor Company, and Ambuja Cements Limited , the Transferee Company, became effective on March 12, 2026. Under the terms of the arrangement, a share exchange ratio was established wherein 12 equity shares of ₹2 each fully paid-up in Ambuja Cements were allotted for every 100 equity shares of ₹10 each held in Sanghi Industries. The Record Date to determine eligibility was fixed as April 6, 2026.

Allotment of these equity shares to the eligible shareholders was completed on April 10, 2026. Intimation letters regarding the credit of shares were dispatched to the shareholders on July 2, 2026. The company noted that fractional entitlements arising from the exchange ratio were consolidated, and the resulting shares were allotted to Catalyst Trusteeship Limited. The Trustee is responsible for selling these consolidated shares on the stock exchange and distributing the net proceeds proportionally to the entitled shareholders after applicable tax deductions and expenses.

The following table outlines the entitlement details based on the share exchange ratio:

Shareholders have been advised to direct all correspondence regarding the allotment to the Registrar & Share Transfer Agent, MUFG Intime India Private Limited. The intimation regarding the credit of shares and the commencement of trading has been made available on the company's official website.

Ambuja Cements has received a rating downgrade from global brokerage HSBC, which has revised its stance on the stock to Hold from its previous recommendation. HSBC has set a target price of ₹490 for the stock, signalling limited near-term upside potential from current levels.

HSBC Downgrades Ambuja Cements to Hold

HSBC's downgrade is underpinned by its assessment that the cement sector, while showing signs of gradual improvement, is not yet positioned for a meaningful price and margin recovery in the near term. The brokerage acknowledged that sector fundamentals are likely to improve in the second half of FY27 (2HFY27), but emphasized that a sustained recovery in cement prices and margins is expected to materialize only from FY28 onwards.

The key details of HSBC's revised rating are summarized below:

Key Rationale Behind the Downgrade

HSBC's cautious stance on Ambuja Cements is driven by the following key considerations:

• Cement price recovery is expected to remain subdued in the near term, limiting revenue upside.
• Margin improvement is projected to be a longer-term phenomenon, with meaningful gains anticipated only from FY28.
• Sector fundamentals are expected to show gradual improvement in 2HFY27, but this is not seen as sufficient to drive a sustained re-rating in the near term.
• The Hold rating reflects a balanced risk-reward profile at current valuations, with the target price of ₹490 indicating limited room for significant price appreciation in the short term.

Outlook

HSBC's revised assessment places Ambuja Cements in a transitional phase, where improving sector dynamics in 2HFY27 may lay the groundwork for a more robust recovery from FY28. The brokerage's Hold recommendation and ₹490 target price reflect a wait-and-watch approach, acknowledging sector tailwinds while tempering expectations for near-term outperformance.