Shares of UltraTech Cement on Friday jumped over 6 per cent after the firm announced an investment plan worth Rs 5,477 crore. The stock zoomed 6.21 per cent to a one-year high of Rs 5,196.30 on the BSE. At the NSE, it gained 6.24 per cent to Rs 5,199.
The country’s largest cement maker on Thursday announced a Rs 5,477-crore investment to add 12.8 million tonnes (MT) capacity, taking its overall output to over 136 mt per annum.
In a statement, the company said its board in a meeting approved capacity expansion to the tune of 12.8 mt per annum with a mix of brown-field and green-field expansion.
Upon completion of the latest round of expansion, UltraTech’s capacity will grow to 136.25 mt per annum, reinforcing its position as the third-largest cement company in the world, outside of China.
“The additional capacity will be created in the fast-growing markets of the eastern, central and northern regions,” the company said.
This expansion includes the existing approval for a cement plant at Pali in Rajasthan, in addition to the existing 6.7 mt per annum capacity expansion currently underway in UP, Odisha, Bihar and Bengal.
The expansion will get commissioned by FY22, in a phased manner, the company added.