UltraTech-India Cements deal: What does it mean for MS Dhoni¡¯s role with Chennai Super Kings?
UltraTech Cement recently announced plans to acquire a majority stake in India Cements, the largest cement producer in India, at a high price of $120.76 per tonne. The?board of directors has approved buying a 32.72% equity stake from the promoters and their associates in India Cements Ltd, pending regulatory approvals.
UltraTech will pay Rs 3,954 crore, or Rs 390 per share, for this 32.72% stake in India Cements.
Kumar Mangalam Birla strengthened his position as India¡¯s leading building materials manufacturer by acquiring N Srinivasan's cement business.?However, with this acquisition, many are wondering about the fate of IPL¡¯s most successful franchise Chennai Super Kings and its glorious captain MS Dhoni.?
With the Aditya Birla Group's acquisition of India Cements, will CSK also fall under their ownership?
Reports suggest that, despite the UltraTech and India Cements deal, CSK will remain under the control of N Srinivasan and his family. This is because the franchise has been operating under a separate entity, Chennai Super Kings Cricket Limited (CSKCL), since 2015, and this entity is not included in the takeover deal.
What remains uncertain is the fate of MS Dhoni's position, as he currently serves as the vice-president of India Cements. Additionally, other notable cricketers, including Rahul Dravid and R. Ashwin, are also employed by India Cements.
Srinivasan and his family hold a 29% stake in Chennai Super Kings Cricket Limited (CSKL). This stake was previously managed by the India Cements Shareholder Trust, established to support cricketers employed by India Cements. Following Rupa Gurunath's departure as president of the Tamil Nadu Cricket Association (TNCA), the 29% stake has been returned to Srinivasan¡¯s family, as noted in CSK¡¯s annual report.
Will Dhoni continue to be the captain of Chennai Super Kings after this deal?
The future of the cricketers currently employed by India Cements remains unknown. In addition to past and present national players, several long-serving Tamil Nadu players are employed with India Cements and represent teams in the TNCA First Division. The key question now is what will happen to these employees.
According to Cricbuzz, MS Dhoni¡¯s future with CSK will hinge on the number of retentions allowed in the upcoming IPL season.?
Dhoni and N. Srinivasan have discussed this, and Dhoni could continue playing if the IPL permits five or six retentions. Current likely retentions include Ruturaj Gaikwad, Ravindra Jadeja, Matheesha Pathirana, and Shivam Dube. If fewer retentions are allowed, Dhoni may shift to a mentor role. The decision will depend on the BCCI's meeting with IPL team owners in Mumbai on July 31, which will be attended by Rupa Gurunath, N. Srinivasan¡¯s daughter.
Also Read:?CSK Owner N Srinivasan: A Titan Of Indian Business With Rs 720 Cr Net Worth
Meanwhile Srinivasan addressed the deal in front of India Cements employees assuring them of their bright future
India Cements Vice Chairman and Managing Director N. Srinivasan addressed employees following UltraTech Cement's acquisition of a 32.72% equity stake in India Cements from the promoters and their associates. Srinivasan assured that this transition will not affect their careers, noting that he has personally discussed the matter with the Chairman of the Birla Group and received confirmation that company policies will remain unchanged.
"There will be space for everybody, no witch-hunts, and good workers will be rewarded. There is no need for anybody to feel threatened or insecure about their future," he said.
"You should be happy, the economic climate is happy and the management is happy. There is no reason for you to have doubts, I wish you all the best and miss you," he said.
