Shares of Hyderabad based Rain Commodities on Tuesday plunged by 4.48% — a day after the company announced that its subsidiary Rain CII would acquire Belgium-based Ruetgers for €702 million or around Rs. 4,900 crore. This deal is India’s biggest acquisition this year. Shares of Rain Commodities closed at Rs. 39.4, down by Rs. 1.85.

The stock came under selling pressure from investors who seemed concerned if Rain Commodities, with a market capitalisation of Rs. 1,376 crore (on Tuesday close) would be able to meet funds to acquire the German coal tar pitch maker.

Rain Commodities already has a debt of R3,500 crore. The company made a net profit of Rs. 29 crore for the quarter ended in June. It has a net cash of around Rs. 1,200 crore and could utilise that for the acquisition.

Rain Commodities, that produces and sells CPC, cement, co-generation of energy and trading of fuel-grade green petroleum coke, also has plans in India, US and China. It will acquire stake (100%) in Ruetgers from private equity firm Triton. Triton has 23 companies in its portfolio.