Jaiprakash Associates (JP Associates) upon recommendations of the committee of directors has received an approval to demerge its cement plants in Gujarat & Andhra Pradesh and its other units viz. asbestos sheet plants, heavy engineering workshop & Hi Tech casting centre / foundry into its wholly owned subsidiary, namely, Jaypee Cement Corporation implementing 3 MTPA cement plant in Karnataka. The board at its meeting held on November 14, 2011 has approved for the same.
Further, this demerger is subject to requisite approvals and sanction of the scheme of arrangement by High Court.
Jaiprakash Associates, infrastructure major registered cement sales at 14.47 lakh tonne in July against 12.21 lakh tonne in the same month last year recording a growth of 18%. The cumulative sales stood at 56.34 lakh tonne during the April-July period of this fiscal, which is 10% higher than the sale of 51.21 lakh tonne in the year-ago period.