JK Cement Completes Acquisition of Odisha’s Toshali Cement

JK Cement, a leading cement manufacturer in India, has finalized the acquisition of Toshali Cement, based in Odisha. This move adds 0.6 million tonnes per annum to JK Cement's production capacity.

JK Cement Completes Acquisition of Odisha’s Toshali Cement

JK Cement, with a capacity of 20 million tonnes per annum, ranks among the top 8 cement manufacturers in India. The acquisition of Toshali Cement, for a total cost of Rs. 90 crore (excluding the cost of a limestone mining license), marks a significant expansion for JK Cement. This acquisition does not only increase JK Cement's production capacity but also includes a limestone mining license, for which an additional Rs. 67 crore will be paid post-transfer.

Toshali Cement, now a wholly-owned subsidiary of JK Cement, operates two manufacturing units in Odisha. The first, located in Koraput district, features integrated units with a clinker capacity of 0.33 million tonnes and a grinding capacity of 0.2 million tonnes per annum. The second unit, in Cuttack district, is a grinding unit with a cement production capacity of 0.44 million tonnes per annum. Established in 2002, Toshali Cement's acquisition is expected to be fully integrated within 18 months, pending statutory and regulatory approvals.

This strategic acquisition comes at a time when India's top cement manufacturers are expanding their capacities, anticipating demand surges from major government initiatives like large road construction programs and housing schemes for the underprivileged.

Source: Economic Times