Regency Ceramics, a well-established ceramic manufacturer listed on BSE/NSE, has announced its acquisition of Segno Ceramics Private Limited, located in Bapatla district, Andhra Pradesh. This strategic move, effective August 22, 2024, will grant Regency Ceramics full control of Segno’s manufacturing facility. The acquisition aligns with Chief Minister N. Chandrababu Naidu’s vision to drive economic growth and create employment opportunities in the state.
Regency Ceramics has structured the deal as an all-cash transaction, avoiding significant capital expenditure and ensuring minimal impact on its cash flow. This acquisition is expected to bolster Regency’s market presence, especially in South and East India.
The Segno plant, spread over 50 acres, has an annual production capacity of 3.6 million square meters, allowing Regency to expand its product offerings to include premium Glazed Vitrified Tiles and Polished Vitrified Tiles.
Satyendra Prasad Narala, Managing Director of Regency Ceramics, expressed excitement about the acquisition, stating, “This strategic acquisition meets our immediate production needs and strengthens our market footprint. With our strong legacy in states like Tamil Nadu, Andhra Pradesh, Telangana, Karnataka, Kerala, and Odisha, we are targeting a revenue of Rs. 100 crores in the next calendar year.”
The advanced machinery and manufacturing capabilities at the Bapatla facility, combined with Regency’s expertise, will enable the company to capitalize on the growing ceramics market. The facility’s strategic location offers excellent connectivity for exports, being close to Chennai and Krishnapatnam ports.
With the Andhra Pradesh government’s renewed emphasis on infrastructure development, Regency Ceramics is well-positioned to play a key role in the state’s industrial revival and contribute to its economic growth.
