Displaying items by tag: Shree Cement

India: The National Green Tribunal has issued notices to 13 cement companies on a petition alleging that they are violating its orders and environmental norms as well as the provisions of the Motor Vehicles Act, 1988, by causing air pollution. The petitioner, Neena Pradeep, has also accused the cement companies of overloading their trucks with cement and clinkers in order to save toll tax, according to the Hindu. Violations by Shree Cement and JK Cement were highlighted during the hearing. They have allegedly overloaded their trucks by 200 - 250%.

India: Shree Cement has offered the highest bid in an auction for limestone deposits at Karhi Chandi, Baloda Bazar in Chhattisgarh. The site has estimated reserves of 155Mt of limestone in an 252 hectare area. Official confirmation from the state government that confirms Shree Cement as the winner of the auction is still awaited.

Local press reports that Shree Cement offered US$4/t for the deposit. The sale was the first non-coal mining lease auction by the state government. Shree Cement has plans to expand its cement plant at Raipur.

India: In an attempt to service its US$5.99bn debt, Jaiprakash Associates has signed an agreement with Shree Cement to divest its stake in the 2.1Mt/yr Bhilai Jaypee Cement plant for an enterprise value of US$314 – 329m. Jaiprakash Associates is finding it difficult to service its debt due to various reasons, including a slowdown in the economy and some of its projects falling on the revenue front.

India: The Competition Appellate Tribunal has set aside a US$945m penalty imposed on 11 cement firms by the Competition Commission of India (CCI) on accusations of cartel behaviour and asked the fair trade regulator to resubmit the case. The Tribunal also allowed the cement manufacturers to withdraw the 10% penalty amount already deposited with the CCI, according to the Press Trust of India.

The judgement follows appeals filed by the cement firms and their industry body, the Cement Manufacturers Association, against the two CCI orders passed in June - July 2012. The cement companies included ACC, Ambuja Cements, Binani Cements, Century Textiles Ltd, India Cements, JK Cements, Lafarge India, Madras Cements, Ultratech, JP Associates and Shree Cements.

The CCI had passed the orders after an investigation into complaints, including from Builders Association of India (BAI), against alleged price collaboration between cement firms.

The orders were later challenged at the Competition Appellate Tribunal, which ordered that 'the impugned order is set aside and the matter is remitted to the CCI for fresh adjudication of the issues relating to alleged violation" of the relevant sections of the Competition Act.'

India: Shree Cement's net profit rose by 18.3% year-on-year to US$19.5m in the quarter that ended on 30 September 2015 and its total income increased by 6.79% to US$265m.

India: Shree Cement commissioned a new 2Mt/yr grinding plant in Bulandshahr, Uttar Pradesh on 30 October 2015.

India: Shree Cement is setting up a 2.8Mt/yr cement plant at Sikandrabad in Bulandshahr, Uttar Pradesh. The plant will also include a 18MW captive power plant.

India: Petron Engineering Construction has received work order from Shree Cement in Bewar, Rajasthan. The order includes civil construction work, reinforcement and steel work of a ball mill structure for a contract value of US$1.79m.

India: Shree Cement's profit in the quarter that ended on 30 June 2015 fell by 62.5% year-on-year to US$16.3m, but its overall earnings beat expectations due to strong growth in its power business.

Its revenue grew by 4% to US$270m and its operating profit fell by 18.7% year-on-year to US$55.9m. Its results were affected by 8.2% higher power and fuel costs, 26% higher freight and forwarding expenses and a 55% depreciation cost. The cement business grew by 1.7% to US$238m, while its earnings before interest and taxes (EBIT) was a US$7.46m loss. Overall performance was supported by its power business, which contributes 23% to total revenue.

India: Six foreign and domestic cement companies, along with one private equity firm, have expressed interest in buying the assets that Lafarge is divesting in India before it closes its merger with Holcim. The bids were in excess of US$627m.

The deadline for submitting non-binding bids for the assets expired on 16 May 2015. Ahead of that deadline, local media reported that bids came from Shree Cement, Chettinad Cement, HeidelbergCement India, The Ramco Cements, CRH and Blackstone Group.

As a precondition to clearing Indian leg of the LafargeHolcim, the Competition Commission of India (CCI) directed Lafarge to sell two of its assets in Chhattisgarh and Jharkhand. These are a cement plant at Sonadih, Chhattisgarh and a grinding plant at Jojobera, Jharkhand, with a total capacity of approximately 5Mt/yr. In its directions, the CCI said that Lafarge should sell its assets 'to relatively smaller players, having an installed capacity of less than 5% of their total capacity in the relevant geographic market.'

With the non-binding bids in, Lafarge is likely to shortlist bidders by the middle of June 2015. The deal is likely to be concluded in July 2015.