Nuvoco Vistas Corporation has received a substantial acquisition disclosure from HDFC Mutual Fund, indicating the fund house has crossed the 5% shareholding threshold in the cement company. The disclosure, dated February 10, 2026, was made in compliance with SEBI regulations governing substantial acquisitions.

Acquisition Details

HDFC Mutual Fund's aggregate holdings in Nuvoco Vistas Corporation reached 5.39% of the company's paid-up equity share capital as of February 06, 2026. The acquisition was executed through open market transactions, with the fund purchasing 16,12,970 shares.

Holdings Breakdown

The substantial acquisition involved multiple HDFC Mutual Fund schemes, demonstrating diversified investment across various fund categories. The participating schemes included equity-focused funds, index funds, and exchange-traded funds.

Company Share Capital Structure

Nuvoco Vistas Corporation's paid-up equity share capital stands at Rs. 3,57,15,61,530/-, comprising 35,71,56,153 equity shares of Rs. 10/- each. The share capital structure remained unchanged following the acquisition, with no dilution through convertible securities or warrants.

Participating HDFC Schemes

The acquisition was executed across eight different HDFC Mutual Fund schemes, reflecting the fund house's strategic investment approach across multiple investment vehicles:

• HDFC BSE 500 ETF
• HDFC BSE 500 Index Fund
• HDFC Flexi Cap Fund
• HDFC Balanced Advantage Fund
• HDFC Large and Mid Cap Fund
• HDFC NIFTY500 MULTICAP 50:25:25 INDEX FUND
• HDFC NIFTY SMALLCAP 250 ETF
• HDFC NIFTY SMALLCAP 250 INDEX FUND

Regulatory Compliance

The disclosure was made under Regulation 29(1) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. HDFC Asset Management Company Limited, acting as investment manager for HDFC Mutual Fund, confirmed that the fund house does not belong to the promoter or promoter group of Nuvoco Vistas Corporation. The disclosure was simultaneously submitted to both BSE Limited and National Stock Exchange of India Limited, where the company's shares are listed.

Nuvoco Vistas Corporation Limited delivered exceptional third-quarter performance for FY26, achieving record volumes and significant EBITDA growth despite challenging market conditions. The cement manufacturer reported its highest-ever Q3 volumes while maintaining strong operational efficiency and cost management.

Record Volume Performance and Market Recovery

The company achieved remarkable volume growth during the quarter ended December 31, 2025, with cement sales reaching 5.00 million tons, marking a 7% year-on-year increase. This represents the highest Q3 volumes in the company's history, demonstrating strong execution capabilities despite early-quarter macro headwinds.

December emerged as a particularly strong month, with volume growth of 20% year-on-year, indicating robust underlying demand recovery. The quarter began on a challenging note but showed encouraging signs of recovery as macro headwinds began to subside, particularly in the latter part of the quarter.

Strong Financial Performance Despite Pricing Pressures

Despite pricing moderation following revised GST rates and macro headwinds, the company delivered impressive financial results. EBITDA for the quarter rose approximately 50% year-on-year to ₹386.00 crores, reflecting the company's focus on premiumization and operational efficiency.

The company's emphasis on premiumization yielded significant results, with premium products sustaining their share at 44% of trade volumes for consecutive quarters. For the nine months of FY26, premiumization stood at 43%, reflecting a steady uplift of nearly 300 basis points over the FY25 baseline of 40%.

Operational Excellence and Cost Management

Nuvoco demonstrated exceptional cost management capabilities, achieving the lowest blended fuel cost in 17 quarters at ₹1.41 per million calories, despite recent upticks in petcoke prices. The company's fuel mix optimization strategy proved effective:

The company successfully reduced petcoke consumption from 48% to 41% year-on-year while increasing domestic coal usage and alternative fuel adoption. Raw material cost per ton and distribution cost per ton also declined quarter-on-quarter, supported by operational efficiency gains.

Strategic Expansion and Balance Sheet Management

During the quarter, Nuvoco raised ₹600.00 crores through Compulsorily Convertible Debenture (CCD) issuances, which were utilized to replace equivalent short-term bridge financing, thereby reducing overall debt levels. The company expects to complete an additional ₹600.00 crores CCD issuance in the near term to substitute remaining short-term bridge financing.

The Vadraj Cement Plant refurbishment remains on schedule, with operationalization of clinker and grinding units planned in phases from Q3 FY27 to Q1 FY28. Key equipment overhaul is progressing at both Kutch and Surat locations, with engineering, tendering, and ordering of all packages now complete.

Digital Innovation and Market Positioning

The company continued strengthening its digital infrastructure, with the customer portal now handling approximately 99% of total orders. Following success in cement operations, Nuvoco launched a customer portal for its MBM business and introduced the Nuvoco ZeroM Unnati app to digitize influencer loyalty programs.

Looking ahead, the company remains optimistic about demand recovery, supported by accelerating government capital expenditure and improving rural consumer confidence. With approximately 45% of central CAPEX and 61% of state CAPEX remaining pending as of November 2025, the healthy project pipeline provides comfort for continued demand growth.

Source: Nuvoco Vistas Corporation Limited Q3FY26 Earnings Conference Call Transcript