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Adani Encumbers $13 Billion Stake in Newly Bought Cement Units

  • In non-disposal undertaking, the shares can’t be sold
  • India cement stocks have rallied on Adani’s entry, growth plan
A rickshaw-puller travels past an Abuja Cements Ltd. billboard on a highway in Patna, Bihar, India.

A rickshaw-puller travels past an Abuja Cements Ltd. billboard on a highway in Patna, Bihar, India.

Photographer: Anindito Mukherjee/Bloomberg
Updated on

Billionaire Gautam Adani’s group set aside shares valued at about $13 billion in two Indian cement firms as part of a lending agreement, reflecting the world’s second-richest person’s hunger for capital as his ports-to-power conglomerate expands rapidly.

Stakes in two of those companies -- about 57% of ACC Ltd. and 63% in Ambuja Cements Ltd. -- have been encumbered “for the benefit of certain lenders and other finance parties,” according to separate filings made to Indian stock exchanges by Deutsche Bank AG’s Hong Kong branch.