UltraTech Cement to invest Rs 5,477 cr in expanding capacity; to become third largest globally
New Delhi: UltraTech Cement, part of Aditya Birla Group, has made public Rs 5,477 crore investment plan for expanding the manufacturing capacity to 12.8 million tonne per year. The investment will made in greenfield (new factories) and brownfield (exiting factories) plants of the company.
“This investment in a core infrastructure sector will accelerate the wheels of economic activity and aid the kickstart of the private investment cycle,” said Aditya Birla Group’s Chairman Kumar Mangalam Birla in a statement.
This investment includes the already existing approval for a cement factory at Pali(Rajasthan). There will also be 6.7 mt per annum capacity expansion which is ongoing in Odisha, Uttar Pradesh, Bihar and West Bengal. These are expected to be completed in pahsed manner by fiscal 2021-22,
The production of cement from these new plants is expected to start by fourth quarter of fiscal 2022-23.
“These expansions will not derail the deleveraging action of the company which is currently underway to make the company debt free.
With these expansions, UltraTech’s manufacturing capacity will reach 136 mt per annum which will make it the third largest cement maker globally.