CHENNAI: Stressing that UltraTech is a successful cement producer, India Cements whole time director Rupa Gurunath on Monday said the former would ensure the future of the Chennai-based cement manufacturer.
Chairing the 78th annual general meeting (AGM) of India Cements through videoconferencing, Rupa, who is the daughter of India Cements vice-chairman & MD N Srinivasan, said there were plans to reduce the variable cost of the company.”We have already engaged consultants to suggest ways and means to achieve this. We have done part of it, which will continue. We feel that UltraTech will definitely take the initiatives forward,” she said.
According to the shareholders account, who joined the meeting, there are no prospects of export as prices are not viable in the present scenario.
“The company has been continuously working for a reduction of fuel costs and we are sure that UltraTech will continue the efforts. The company has initiated efforts on ESG, and we intend to get an ESG rating,” she added.
Consultants, including Boston Consulting Group, have been engaged to suggest measures for improving the operating efficiency.
Noting that such efforts had provided some relief in the form of a reduction in the variable cost for some of its plants, Rupa said, “Your company has not delayed or defaulted on any of the scheduled loan repayments and has been able to manage the situation by recovering some of the advances as well as through sale of some of the non-core assets.”
India Cements divested its grinding unit at Parli to UltraTech for a consideration of Rs 315 crore during the first quarter of the current financial year.
During the AGM, shareholders raised queries about the future plans of the company, its employees and whether India Cements would remain a separate entity or merge with UltraTech. “We are not able to comment whether UltraTech will merge India Cements with it. The employees will be taken care of by UltraTech,” she said.
The future of the company was in the hands of UltraTech, Rupa said, expressing hope that the shareholders’ value would improve in the future.
In his address, Srinivasan said the expected recovery in cement prices presented a healthy demand outlook and the industry, especially the south, had built adequate capacity to meet the demand. Referring to the takeover of India Cements by cement major UltraTech, he said the acquisition was subject to various approvals, including that of the CCI.
It may be recalled that India’s largest building materials maker, billionaire Kumar Mangalam Birla struck a deal with Srinivasan and his family to acquire their cement business for Rs 3,954 crore in July.
Chairing the 78th annual general meeting (AGM) of India Cements through videoconferencing, Rupa, who is the daughter of India Cements vice-chairman & MD N Srinivasan, said there were plans to reduce the variable cost of the company.”We have already engaged consultants to suggest ways and means to achieve this. We have done part of it, which will continue. We feel that UltraTech will definitely take the initiatives forward,” she said.
According to the shareholders account, who joined the meeting, there are no prospects of export as prices are not viable in the present scenario.
“The company has been continuously working for a reduction of fuel costs and we are sure that UltraTech will continue the efforts. The company has initiated efforts on ESG, and we intend to get an ESG rating,” she added.
Consultants, including Boston Consulting Group, have been engaged to suggest measures for improving the operating efficiency.
Noting that such efforts had provided some relief in the form of a reduction in the variable cost for some of its plants, Rupa said, “Your company has not delayed or defaulted on any of the scheduled loan repayments and has been able to manage the situation by recovering some of the advances as well as through sale of some of the non-core assets.”
India Cements divested its grinding unit at Parli to UltraTech for a consideration of Rs 315 crore during the first quarter of the current financial year.
During the AGM, shareholders raised queries about the future plans of the company, its employees and whether India Cements would remain a separate entity or merge with UltraTech. “We are not able to comment whether UltraTech will merge India Cements with it. The employees will be taken care of by UltraTech,” she said.
The future of the company was in the hands of UltraTech, Rupa said, expressing hope that the shareholders’ value would improve in the future.
In his address, Srinivasan said the expected recovery in cement prices presented a healthy demand outlook and the industry, especially the south, had built adequate capacity to meet the demand. Referring to the takeover of India Cements by cement major UltraTech, he said the acquisition was subject to various approvals, including that of the CCI.
It may be recalled that India’s largest building materials maker, billionaire Kumar Mangalam Birla struck a deal with Srinivasan and his family to acquire their cement business for Rs 3,954 crore in July.