JK Cement share price: Leading cement company JK Cement has announced to buy 60 percent stake of Safco Cements. Through this it will enter the market of Jammu and Kashmir. Both the companies gave this information in a joint statement on Saturday. JK Cement shares have fallen by 0.75 percent on Friday and closed at Rs 4754.50 on BSE. The market cap of the company is Rs 36,729.15 crore.
Deal done for Rs 174 crore
According to the statement, the JK Group company will acquire 60 per cent stake in Safco Cements, which has an integrated manufacturing unit in Khunmoh, Srinagar, for Rs 174 crore. SAFCO’s integrated manufacturing unit in Srinagar is spread over 54 acres of land and has a clinker capacity of 2.6 lakh tonnes per annum and grind capacity of 4.2 lakh tonnes per annum.
In addition, it has captive limestone reserves spread over 144.25 hectares, with total mineable reserves of 129 million tonnes. “This acquisition will help the company expand its presence in the Jammu and Kashmir region,” the company said.
JK Cement has a manufacturing capacity of 24.2 million tonnes per annum and has a strong presence in markets such as Rajasthan, Uttar Pradesh and Madhya Pradesh. Its turnover in the last financial year (2023-24) was Rs 86.30 crore.
Raghavpat Singhania, Managing Director, JK Cement, said that this acquisition is an important step towards accelerating the growth journey of JK Cement. Madhavkrishna Singhania, Joint Managing Director and Chief Executive Officer, JK Cement, said that SAIFCO’s location and rich limestone reserves provide a unique opportunity to significantly increase our overall capacity.