CCI initiates investigation against cement companies, shares fall by 5%

The Competition Commission of India (CCI) has started an investigation against cement companies in India including ACC regarding alleged anti-competitive behaviour. Shares of cement companies are under pressure at the bourses, falling by up to 5 percent on the BSE on profit-booking.

“The Competition Commission of India (CCI) has initiated an investigation against cement companies in India including ACC regarding alleged anti-competitive behaviour,” ACC Ltd said in a regulatory filing.

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ACC is of the firm view that it has acted and continues to act in compliance with competition laws and we are fully cooperating with the investigation and providing all necessary information to the authorities.
“ACC has a long-standing commitment to fair competition as reflected in its Code of Business Conduct,” the company added.

In a separate filing, Ambuja Cements in a similarly worded statement, also said the Competition Commission of India has initiated an investigation against cement companies in India including Ambuja Cements regarding alleged anti-competitive behaviour.

“Ambuja Cements Limited has a long-standing commitment to fair competition as reflected in its Code of Business Conduct and Ethics,” it noted.

Following the news report, UltraTech Cement, Ambuja Cements, ACC, Ramco Cement, Star Cement, Orient Cement, Dalmia Bharat, JK Cement and Birla Corporation got down between 3 percent and 5 percent on the BSE in intra-day trade. In comparison, the S&P BSE Sensex was down 0.64 percent at 45,810 points.