MARKET STRUCTURE · COMPETITIVE · INDIA
JSW Cement starts production at Nagaur plant
Change
JSW Cement has commenced production at its greenfield integrated cement manufacturing plant in Nagaur, Rajasthan.
Why it matters
The Nagaur integrated plant includes a 3.30 MTPA clinkerisation unit and a 2.50 MTPA cement grinding unit. An additional 1.00 MTPA cement grinding unit is under construction on the same site. JSW Cement's total cement grinding capacity is now 24.1 MTPA and total clinker manufacturing capacity (including the JV) is 9.74 MTPA. The Nagaur unit was funded through a mix of equity and long-term debt, with ₹800 crore of IPO proceeds allocated to part-finance the unit.
Implications
- · Adds operational clinkerisation and grinding capacity to the company's asset base, increasing available manufacturing throughput in north India.
- · Allocates ₹800 crore of IPO proceeds to capital expenditure for the Nagaur unit and uses long-term debt in the unit's funding mix.
- · Expands the volume requirements for regional distribution and logistics networks serving Rajasthan, Haryana, Punjab and the NCR.
Who is affected
- · Plant operations teams
- · Regional distribution and logistics managers
- · Corporate finance and treasury teams
- · Construction and site contractors
Source
Topics