Sagar Cements surges on receiving nod to acquire grinding unit of Toshali Cements

30 Jun 2016

Sagar Cements is currently trading at Rs. 709.00, up by 36.70 points or 5.46% from its previous closing of Rs. 672.30 on the BSE.

The scrip opened at Rs. 681.00 and has touched a high and low of Rs. 709.00 and Rs. 681.00 respectively. So far 4,361 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 719.00 on 28-Jun-2016 and a 52 week low of Rs. 305.10 on 25-Aug-2015.

Last one week high and low of the scrip stood at Rs. 719.00 and Rs. 574.25 respectively. The current market cap of the company is Rs. 1,225.85 crore.

The promoters holding in the company stood at 56.93%, while Institutions and Non-Institutions held 8.16% and 34.91% respectively.

Sagar Cements has received an approval for acquisition of the entire assets in the grinding unit of 1,81,500 tons per annum capacity in Bayyavaram, Yizag District, Andhra Pradesh, owned by Toshali Cements, Hyderabad, at a cost of around Rs 60 crore (including transaction cost). The board of directors at its meeting held on June 29, 2016 has approved for the same. This transaction, which is expected to be completed by September 30, 2016, is subject to successful completion of due diligence and obtaining of other approvals as may be required by the company to commence its grinding operations in the said unit.

Post above acquisition, the company proposes to increase the capacity of the said unit to 3,00,000 tons per annum by optimizing the equipment already available with the company by infusion of funds to the extent of around Rs 6 crore. The acquisition of the above assets will enable the company to save its logistic cost and to introduce slag cement to cater markets in Visakhapatnam, Vizianagaram, Srikakulam and parts of Orissa.

Sagar Cements is one of the most modern mini cement plants in the state of Andhra Pradesh. The plant is based on Dry Process Rotary Kiln Technology that is used in ‘Standard Quality' cement companies.
 
 
 

Related Sagar Cements Ltd. Links:

Sagar Cements Share Price

697.30 12.35 (1.80%) Feb 26, 18:55
1 Year Price Chart
Peers
Company Name CMP
Ultratech Cement 6114.60
ACC 1732.95
Shree Cement 26506.65
Ambuja Cement 273.65
Dalmia Bharat 1434.75
View more..
Sensex vs Sagar Cements
Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

Callback