JK Cement has received approval to sign/execute a Shareholders Agreement (SHA) and Securities Subscription and Purchase Agreement (SSPA) with the Shareholders and also with Saifco Cements (Saifco) for acquisition of 60% Equity Shareholding from the existing shareholders of Saifco and also fresh issue by Saifco. The SHA and SSPA would become effective subject to fulfilling/achieving Conditions Precedents (CPs) as per the said SHA and SSPA and Financial and Legal Due Diligence. Upon making of such investment, Saifco will become subsidiary of the Company.
The acquisition will help the company to expand its footprint into state of Jammu and Kashmir Region etc. The transaction is subject to Legal and Financial due diligence and completion of conditions precedent. The transaction would likely to be completed in maximum next six months. The consideration shall be in the form of Enterprise Value for 60% stake is Rs 174 crore. The Board of Directors of the Company in their Board Meeting held on January 27, 2025 has approved the same.
JK Cement is one of the largest cement manufacturers in north India. It is also second largest producer of white cement in India. The company exports white cement to countries like South Africa, Nigeria, Singapore, Bahrain, Bangladesh, Sri Lanka, Tanzania, UAE and Nepal.
