India: JSW Cement plans to invest around US$277m towards increasing its production capacity and it is considering an initial public offering (IPO) in 2019 or 2020. The cement producer wants to increase the cement production capacity to 2.2Mt/yr in 2018 from 1Mt/yr at its Dolvi grinding plant in Maharashtra, according to the Press Trust of India. A further expansion to 4.5Mt/yr is scheduled for 2019.
"We expect huge demand for cement in the country and plan to expand our cement manufacturing capacity from 12.5Mt/yr to 20Mt/yr by 2020. We are adding 4.5Mt/yr at our Dolvi unit in Maharashtra and 1.2Mt/yr at out Vijaynagar unit in Karnataka, apart from 1.2Mt/yr adding at our Odisha unit,” said JSW Cement’s managing director Parth Jindal. He added that the company would wait for the outcome of the general election in 2019 and create a ‘healthy’ financial profile before launching the IPO. After raising money in the offering the company plans to reach a 30Mt/yr capacity by 2025 and 50Mt/yr in 2030 both through new builds and acquisitions.