India Cements shares drop 3% as CCI conducts searches at Chennai office

Shares of India Cements declined 3 per cent in Friday's trade after CCI officials visited the company's office in Chennai and conducted search to find out if any irregularities concerning competition commission has occurred. The scrip fell even as the company suggested that it has not committed any breach of CCI regulations.

Following the development, the scrip fell 3.22 per cent to hit a low of Rs 211.60 on BSE. With this, the year-to-date gain for the stock has cut to 6 per cent.

In a clarification sought by stock exchanges, India Cements on Thursday said "certain officials of Competition Commission of India (CCI)” visited our office in Chennai at around 11:30 am and are conducting ‘search’ to find out if any irregularities concerning ‘Competition Commission’ has occurred."

"We clarify that we have not indulged in any irregularities concerning “Competition Commission”," it said.

In the past, said India Cements, the company announced any development, including Competition Commission, promptly to the exchanges. "Since we have not committed any breach of CCI Regulations, we do not apprehend any material impact on the company.

India Cements has a total capacity of 15.5 million tonnes per annum. Its revenue for the financial year that ended on March 31 stood at Rs 4,713.11 crore. The cement maker operates eight integrated cement plants in Tamil Nadu, Telangana, Andhra Pradesh and Rajasthan and two grinding units, one each in Tamil Nadu and Maharashtra.

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