BUZZ-India's Jaiprakash surges on deal to sell cement plants

** Jaiprakash Associates gains as much as 13 pct to a month-high of 8.75 rupees, UltraTech Cement up as much as 1 pct

** UltraTech board approves deal to buy identified JAL cement plants at enterprise value of 159 bln rupees ($2.40 billion)

** “The successful amendment to the Mines and Mineral (Development and Regulations) Amendment Bill, 2016 will facilitate timely integration of Jaiprakash’s assets with that of UltraTech,” Kotak Institutional Equities says

** Brokerage estimates deal to be earnings dilutive in the initial few years

** The deal, announced in Feb, would raise UltraTech’s installed annual capacity by one-third to about 91 mln tonnes, and provide Jaiprakash with much-needed relief to pare its debts. ($1 = 66.3400 Indian rupees)