Rajapalayam Mills Limited has pledged an additional 6,32,000 equity shares of Ramco Cements to Tata Capital Limited, marking a rise in the promoter group’s encumbered stake. The pledge, created on July 24, 2026, serves as security for borrowing and pushes the total number of encumbered shares held by Rajapalayam Mills to 1,91,53,625, representing 8.11% of the cement maker’s total share capital.

The disclosure was filed with the National Stock Exchange of India Limited and BSE Limited on July 25, 2026, in compliance with Regulation 31(1) and 31(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Prior to this transaction, Rajapalayam Mills had already pledged 11,05,800 shares, which constituted 7.84% of the total share capital. The new encumbrance adds 0.27 percentage points to the promoter’s pledged holding.

Promoter Group Holding Structure

Rajapalayam Mills Limited remains a significant promoter of Ramco Cements, holding a total of 3,21,69,264 equity shares, which accounts for 13.61% of the company’s total share capital. The broader promoter group, which includes various individual family members and associated entities, holds a combined 42.56% stake in the company.

The following table details the current shareholding and encumbrance status of the key promoters:

What the Numbers Show

The data indicates that while the promoter group maintains a substantial controlling interest of over 42%, a significant portion of this stake is already encumbered. With 9.46% of the total share capital pledged across the group, nearly one-quarter of the promoter holding is under lien or pledge. The recent move by Rajapalayam Mills to pledge additional shares specifically for borrowing security suggests ongoing liquidity management or debt servicing requirements within the promoter group, rather than a change in strategic control or intent regarding the target company.

Rajapalayam Mills Limited has released a pledge on 4,70,000 equity shares of The Ramco Cements Limited , reducing its encumbered stake in the cement manufacturer. The transaction, completed on July 24, 2026, was disclosed under Regulation 31(1) and 31(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The release signifies a de-leveraging event for the promoter group, as the shares were freed from encumbrance with Barclays Investments & Loans India Pvt. Ltd upon loan repayment.

The disclosure was submitted to both the National Stock Exchange of India Limited and BSE Limited by K. Maheswaran, Company Secretary of Rajapalayam Mills Limited. The filing confirms that the specific batch of 4,70,000 shares, which accounted for 0.20% of The Ramco Cements Limited's total share capital, is no longer pledged. This procedural update ensures transparency regarding the security status of promoter holdings in the listed entity.

Prior to this release, Rajapalayam Mills Limited held 3,21,69,264 shares in The Ramco Cements Limited, constituting 13.61% of the total share capital. Of this holding, 1,89,91,625 shares (8.04%) were previously encumbered. The current release reduces the number of encumbered shares to 1,85,21,625, bringing down the percentage of encumbered promoter holding to 7.84%. The total promoter group holding in The Ramco Cements Limited remains at 42.56%, with aggregate encumbered shares across all promoters standing at 2,17,12,489 (9.19%).

Promoter Holding Structure

The filing details the broader promoter group structure in The Ramco Cements Limited. Alongside Rajapalayam Mills Limited, other entities and individuals within the promoter group hold significant stakes. M/s. Ramco Industries Limited holds the largest portion at 5,15,66,295 shares (21.82%). Other notable holdings include Smt. Nalina Ramalakshmi (1.15%), Smt. Saradha Deepa (0.83%), and M/s. Sri Vishnu Shankar Mill Limited (1.31%).

What the Numbers Show

The reduction in encumbered shares for Rajapalayam Mills Limited indicates improved liquidity or debt servicing capability within that specific promoter entity. While the total promoter group holding remains stable at 42.56%, the decrease in pledged collateral from 9.39% to 9.19% suggests a marginal improvement in the financial flexibility of the promoter group. The continued presence of significant pledges across other group entities, such as Sri Vishnu Shankar Mill Limited and The Ramaraju Surgical Cotton Mills Limited, indicates that while one arm of the group is de-leveraging, others maintain existing security arrangements.

The disclosure does not indicate any change in the beneficial ownership structure, only the status of the encumbrance. Investors should note that the remaining encumbered shares across the promoter group still represent a substantial portion of the total capital, though the specific release by Rajapalayam Mills Limited removes a potential trigger point for forced sales in that particular segment.