The leading cement company in India, UltraTech Cement, has taken a big step toward growing its company by purchasing a grinding facility from India Cements, which is headquartered in Bombay. UltraTech cement company made the contract, which is estimated to be for Rs 315 crore, publicly on April 20.
The 1.1 million tonnes per annum (mtpa) grinding unit, situated at Parli, Maharashtra, the has a captive railway siding that improves logistics productivity. The deal was authorized by the board of directors, in the firm’s regulatory filing, which also underscored the transaction’s strategic value in bolstering UltraTech Cement’s standing in the swiftly growing Bombay region.
The deal falls in with Ultra Technologies Cement’s aggressive expansion plans; the business announced a few days ago that it will be investing an astounding Rs 32,400 crore over the next three years. The goal of the investment drive is to push cement capacity for production to around 200 million tons per year.
UltraTech Cement Corporation has brought into service two new greenfield features in Tamil Nadu and Odisha with a combined capacity of 5.4 mtpa, raising its total capacity to 151.6 mtpa as part of its expansion plan. With the closing of a 100 megawatt (MW) sun plant in Rajasthan, the firm also made a move into renewable energy and started sourcing power for captive consumption from the nationwide transportation network.
The organized plan to combine Ultra Technology Nathdwara Cement and its entirely-owned subsidiaries with the business had been authorized in the National business Law Court (NCLT), the city of Kolkata on April 3, 2024, as stated by UltraTech Cement in a separate declaration. Operating efficiency and UltraTech Cement’s position in the market will continue to get better with this integration.
As an outcome of these occurrences, Ultra Technology Cement’s stocks on the BSE on April 19 finished slightly lower by 0.21 percent at Rs 9,367.40 for each share, showing the reaction of the market to the organization’s recent cement sector activities.
Through this planned purchase, UltraTech Cement substantially strengthens its foothold in Maharashtra and demonstrates its ongoing commitment to for a long time growth and technological advancement in the cement sector. UltraTech Cement is well-suited to maintain its position of leadership in the cement sector of India, with additional achievement coming its way attributable to its big growth strategies and developments in renewable energy and production capacity.