JK Cement, one of India’s top cement producers, is set to acquire a 60% stake in Saifco Cements for ₹174 crore. This deal marks JK Cement’s entry into Jammu & Kashmir’s cement market and includes Saifco’s integrated manufacturing unit in Khunmoh, Srinagar.
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Key Details:
- Saifco’s Facility:
- Spread across 54 acres.
- Clinker production capacity: 0.26 million tonnes per year (MTPA).
- Grinding capacity: 0.42 MTPA.
- Owns limestone reserves spanning 144.25 hectares, with 129 million tonnes of minable reserves.
- JK Cement’s Growth:
- JK Cement currently has a manufacturing capacity of 24.2 MTPA, with strong operations in Rajasthan, Uttar Pradesh, and Madhya Pradesh.
- The deal will expand its presence to Jammu & Kashmir, a region with great infrastructure growth potential.
Leaders’ Statements:
- Raghavpat Singhania, MD of JK Cement:
“This acquisition is a big step in our growth journey. We aim for a smooth integration and better service to customers and the nation.” - Madhavkrishna Singhania, Joint MD & CEO of JK Cement:
“Cement consumption in Kashmir is only 168 kg per person, far below the national average. With Saifco’s location and limestone reserves, we plan to grow significantly in the region.” - Manzoor Ahmad Guna, Chairman of Saifco Cements:
“This partnership with JK Cement will help scale our operations and strengthen our position in the Kashmir Valley.”
The deal is subject to regulatory approvals. For FY24, JK Cement recorded consolidated revenue of ₹11,701.06 crore.
