Mumbai: Cement stocks, including those of ACC and Ambuja on Friday lost ground, falling up to 6.3 percent after competition watchdog CCI slapped a hefty Rs 6,307 crore penalty on 11 companies for price cartelisation.
Shares of ACC tanked 5.17 percent to Rs 1,191, while Ambuja Cements lost 5.18 percent to Rs 162.70 and Jaiprakash Associates plunged 5.96 percent to Rs 70.10 on the BSE.
Among others, Ultratech Cements tumbled 5.7 percent, India Cements was down 6.39 percent, Madras Cements fell 5.63 percent, JK Cement lost 5.63 percent and Century Textiles slipped 4.63 percent.
The maximum fine was imposed on Jaiprakash Associates at Rs 1,323.6 crore followed by Aditya Birla Group's Ultratech Cements (Rs 1,175.49 crore), Ambuja Cements (Rs 1163.91 crore) and ACC (Rs 1,147.59 crore).
The other companies found guilty are Grasim Cements (now merged with Ultratech), Lafarge India, JK Cement, India Cements, Madras Cements, Century Textiles and Binani Cements.
Reacting to the CCI order, Ambuja Cements in a filing to the BSE today said, "In the context of the investigation, ACL has delivered all the information and clarifications requested by the authorities. However, ACL contests the allegations and findings against the company.
Ambuja Cements will appeal against this order to the Appellate Tribunal and will seek a stay on the aforesaid penalty."
Similarly, ACC in a separate filing to the stock exchange said, "The company furnished all information and clarification requested by the authorities in the context of the investigation. The company feel aggrieved by this order and will appeal against it before the Competition Appellate Tribunal."
First Published: Friday, June 22, 2012, 12:34