Displaying items by tag: India

India: JK Cement has entered a joint venture with Saifco Cement, through which it will expand its offering in northern India. JK Cement will acquire a 60% stake in Saifco Cement for US$20.1m to expand in Jammu and Kashmir, where Saifco owns limestone reserves of 129Mt across 144 hectares. The acquisition will involve both the companies working together to increase the capacity of cement production by leveraging the expanse of the limestone reserves in the next five years, according to a press release.

JK Cement CEO Madhav Singhania said "Cement demand typically leads economic expansion by a factor of 1.2 in regions with significant infrastructural development opportunities, and Kashmir is undoubtedly one of these regions."

India: UltraTech Cement’s profit after tax for the third quarter of the 2025 financial year declined by 17% year-on-year to US$166m, compared to US$199m in the third quarter of the 2024 financial year. Net sales rose slightly, by 1.4%, to US$1.87bn from US$1.84bn in the previous corresponding period.

The company projected a future growth in volume of 7-8%, due to its focus on infrastructure and housing projects, as well as increased demand. It said that its capacity expansion program remains on track, with 1.8Mt/yr added during the quarter. Including its acquisition of The India Cements, UltraTech’s total cement capacity has reached 171Mt/yr. It expects to reach 200Mt/yr capacity by the end of the 2027 financial year.

India: Shiva Cement, a JSW Cement subsidiary, has signed an agreement with Bhushan Power and Steel (BPSL) for the development of a 1Mt/yr cement grinding unit at BPSL's premises in Sambalpur, Odisha. The agreement formalises the proposed transaction following board and shareholder approvals in 2024, as well as the signing of a memorandum of understanding.

Under the agreement, BPSL will construct, install and operate the grinding unit for Shiva Cement. The total transaction value is capped at US$44m.

India: Dalmia Bharat recorded a 2% year-on-year decline in cement sales volumes to 6.7Mt in the third quarter of the 2025 financial year, compared to 6.8Mt in the previous corresponding period. Profit before tax dropped by 77% to US$9.6m, while earnings by interest, taxation, depreciation and amortisation (EBITDA) dropped by 34.5% to US$5.9m from US$9m in the same period last year.

Managing director and CEO Puneet Dalmia said “After multiple years of high growth, India witnessed a slightly slow start to the year, but the government's continuous focus on investment-led growth underpin my confidence in a rebound of the Indian economy. In this backdrop, I believe cement demand growth will regain momentum. Our capacity expansion plans are on track, as we will reach 49.5Mt/yr by the end of 2025.”

CFO Dharmender Tuteja added “Cement demand growth in the third quarter fell short of our earlier expectations. Our volumes declined by 2% year-on-year while EBITDA fell 34.5% year-on-year to US$5.9m with persistent weakness in cement prices. With demand now gaining traction and prices showing signs of optimism, we are confident about a stronger performance in the upcoming quarters.”

India: Nuvoco Vistas has reported 16% year-on-year growth in its consolidated cement sales to 4.7Mt in the third quarter of the 2025 financial year ending on 31 December 2024.  Consolidated revenue from operations stood at US$279m and consolidated EBITDA at US$30m. In its release, the company stated that the cement industry was recovering following a challenging first half of the 2025 financial year and subdued demand.

Nuvoco stated that it had achieved the industry's ‘lowest carbon emissions’ at 457kg of CO₂ per tonne of cementitious materials.

Managing director Jayakumar Krishnaswamy said “The company proactively seized demand opportunities to bolster its position in the market and delivered strong volume growth during the quarter. The company is confident in its expansion strategy and ability to execute on growth plans pertaining to Vadraj Cement, which will diversify its market footprint in western India, thereby supporting long-term growth ambitions and further consolidating its position as the fifth largest player in India.”

The company is reportedly on track to achieve 31Mt/yr cement capacity by the third quarter of the 2027 financial year.

India: Kaushalya Logistics has opened new depots for Ambuja Cement, part of the Adani Cement Group, in Kurukshetra and Bhiwani, Haryana.

This marks the first phase of a strategic expansion approved by ACC & Ambuja Cement to establish operations at key locations in Haryana, including Kaithal and Fatehabad. The new depots reportedly aim to improve inventory management, reduce transit times and enhance connectivity across key industrial hubs in the region.

India: A coal hopper has collapsed at the Dalmia Cement (Bharat) plant in Rajganpur, Odisha, leaving several workers trapped under debris. According to the latest reports, 64 workers have been rescued or evacuated, but three remained trapped overnight. A large-scale operation by the authorities has been launched, with cranes and heavy machinery being used to clear the debris and attempt to find the trapped workers. Fatalities have not been confirmed.

A statement from Dalmia Cement (Bharat) said "The accident occurred at around 6:00 pm on 16 January 2025, wherein the whereabouts of three persons are yet to be ascertained. The injured have been provided with immediate treatment and the best medical care is being provided by the company.”

The statement added that the plant area has been cordoned off, according to Money Control news.

Update: On 18 January 2025, three bodies were recovered from the debris of the collapsed structure, after a 36-hour attempt. The plant is now closed until an investigation into the accident has taken place.

Dalmia Cement (Bharat) released a further statement, saying “We are deeply saddened by the tragic incident at the captive power plant in Rajgangpur. We express our heartfelt condolences to the families of the three workers who lost their lives in this incident. We are extending full support to the bereaved families in close coordination with the district administration, including education, livelihood and compensation.”

Holcim revealed the board members for its proposed North America business this week. Former group CEO Jan Jenisch was confirmed as the designated chair and CEO. He will be joined by nine directors chosen from sectors including construction, manufacturing, industrial operations and financial services. Notably, current Holcim director Jürg Oleas will be joining Jenisch at the new company. He previously worked as the head of GEA Group and had senior stints at ABB and the Alstom Group.

The group’s decision to split its business in North America from that in the rest of the world has been presented as a piece of financial engineering designed to increase earnings, margins and increase the value of the business. Markets in the US and Europe have diverged in recent years, with the former growing and the latter slowing in comparison. Splitting the business should, in theory, allow both companies to grow at their own pace. However, the spin-off company in North America will remain linked to Europe as it will be listed at both the New York Stock Exchange and the SIX Swiss Exchange. The latter is for the benefit of European investors. The separation is expected by the end of the first half 2025, subject to shareholder and customary approvals.

Naturally, other companies are also chasing growth in North America. Titan Cement announced this week that its US-based subsidiary, Titan America, has filed a registration statement with the Securities and Exchange Commission as part of a proposed initial public offering (IPO). Yet, the company said that the offering is subject to market conditions. As such it couldn’t say when it might happen, how big it might be or much else. Back in May 2024 the group said it was going to list Titan America in the US to “...facilitate the group’s and Titan America’s future growth and unlock new opportunities.” The IPO was intended to be of a minority stake without creating any large-scale tax issues. At this time the transaction was planned to be completed in early 2025.

Titan’s sales share in North America has remained similar from 2018 to 2023 at around 55%. Holcim’s, by comparison, grew to 39% in 2023 from 22% in 2018. This is due to big acquisitions in the US such as Firestone Building Products in 2021 as it built up its lightweight building materials segment. The size of the two companies’ operations in North America are also different. Holcim reported net sales in the region of over US$11bn in 2023. Titan reported net sales of just under US$1.5bn.

Ireland-based CRH moved its stock market listings to the US earlier than both Holcim and Titan. It completed the transition of its primary listing to the New York Stock Exchange in mid-2023, although it too retains a listing in Europe, at the London Stock Exchange in its case. Yet analysts have started to wonder whether the company might spin-off its businesses outside the US. As reported by the Irish Times, Bank of America analysts reckon that the non-US parts of the company now represent only 16% of the US$82bn concern. For sanity’s sake this is still a US$10bn-plus sized company! Although other commentators did wonder why CRH might have bought assets in Australia in 2024 if it was seriously considering making changes on this scale anytime soon.

Despite all this attention on the US and North America by some of the multinational cement producers, it is worth remembering that markets change over time. Europe may not look so hot right now but it is unlikely to stay like this. The head of Heidelberg Materials, for example, said in early 2024 that his company wasn’t planning a split in the US because it was focusing on decarbonisation. This may prove prescient in the longer term if Europe sticks to its sustainability goals. FInally, the US isn’t the only place where cement companies are attempting to build their value in growth markets. It was also reported this week that JSW Cement had obtained approval from the Securities and Exchange Board of India to proceed with its IPO.

India: JSW Cement has received regulatory approval from the Securities and Exchange Board of India (SEBI) to proceed with its initial public offering (IPO) after a four-month hold-up since September 2024. The IPO includes a fresh issue of shares worth US$230m and an offer for sale by three shareholders, Apollo Global Management, Synergy Capital and State Bank of India (SBI), worth US$230m combined.

Proceeds from the fresh issue will include US$92.3m for a new cement unit in Nagaur, Rajasthan, and US$83m for debt repayment.

India: The Adani Group will invest US$577m to develop and expand its cement plants in Bhatapara and Jamul, according to the Economic Times. The expansion at the Bhatapara unit has already been announced.

This comes as part of an announcement by chair Gautam Adani to invest a total of US$7bn in the state, with US$6.9bn going to the expansion of power plants in Raipur, Korba and Raigarh.