JK Cement has announced its decision to acquire a 60% stake in Saifco Cements, marking the company’s entry into the Jammu and Kashmir (J&K) market. The acquisition, valued at Rs 174 crore, involves Saifco’s integrated manufacturing unit located at Khunmoh in Srinagar.
Saifco’s facility spans 54 acres and has a clinker capacity of 0.26 MTPA and grinding capacity of 0.42 MTPA. The unit also holds substantial limestone reserves across 144.25 hectares, with a total mineable reserve of 129 million tonnes.
This move will help JK Cement expand its presence in J&K, complementing its strong operations across other regions like Rajasthan, Uttar Pradesh, and Madhya Pradesh, where it has a manufacturing capacity of 24.2 MTPA. For FY24, the company reported a turnover of Rs 86.30 crore.
Raghavpat Singhania, Managing Director of JK Cement, emphasized the significance of this acquisition in furthering the company’s growth strategy. He stated, “This partnership will bring together our combined expertise to create a seamless integration, helping us manufacture the best products for our customers and the nation.”
Madhavkrishna Singhania, Joint MD and CEO, highlighted the potential for growth in Kashmir, noting that cement consumption in the region is significantly below the national average, presenting a major opportunity for expansion. “Cement demand in regions with high infrastructure development potential grows at a pace faster than economic expansion, and Kashmir is poised for such growth,” he said.
Manzoor Ahmad Guna, Chairman of Saifco Cements, expressed excitement about the collaboration, aiming to scale operations and contribute to the development of the Kashmir Valley. He added, “We are confident that this partnership will empower us to succeed and lead the region’s cement industry.” The acquisition is still subject to regulatory approvals and other conditions. JK Cement’s consolidated revenue for the financial year ending March 2024 was Rs 11,701.06 crore.
JK Cement Ltd. is among India’s leading manufacturers of grey cement and a global leader in white cement production. Since its inception in 1975 with the establishment of its flagship grey cement plant in Nimbahera, Rajasthan, the company has consistently supported India’s infrastructure needs through high-quality products and cutting-edge technology.
With an installed grey cement capacity of 24.3 MTPA, JK Cement has a robust presence across 15 states in India, with a strong foothold in Uttar Pradesh and Madhya Pradesh. The company’s white cement division, with a production capacity of 1.48 MTPA, serves 36 countries worldwide, supported by its subsidiaries in Fujairah and Africa.
