By Hritam Mukherjee and Ashna Teresa Britto (Reuters) -UltraTech India's top cement maker will buy an 8.69% stake in Star Cement, it said on Friday, in a deal worth up to 8.51 billion rupees ($100 million) for a company that rival Adani Group was reportedly interested in acquiring.

UltraTech Cement acquires 8.69% stake in Star Cement for ₹851 crore, expanding its capacity through strategic acquisitions.

"The Board of Directors of the company at its meeting held today considered the proposal and approved making an investment to acquire non-controlling minority stake up to 3.70 crore equity shares of Star Cement at a price not exceeding Rs 235 per share,

India's UltraTech Cement will buy an 8.69% stake in Star Cement, it said on Friday, in a deal that could be valued at up to 8.51 billion rupees ($100 million) and firm its leading position in the sector.

The Star Cement minority stake acquisition could help UltraTech Cement's exposure in the east markets where its current capacity mix is at 18%.

UltraTech Cement has acquired an 8.69% stake in Star Cement for Rs 851 crore, intensifying competition with Ambuja Cements in the cement industry.

UltraTech Cement acquired an 8.69% stake in Star Cement from its promoters for Rs 851 crore. This move comes after acquiring India Cements, increasing competition with Adani Group's Ambuja Cements. Both firms aim to expand capacity and market presence through strategic acquisitions.

The development comes three days after the Aditya Birla group firm completed the acquisition of a controlling stake in India Cements Ltd, turning the south-based company into its subsidiary.