JK Cement plans to raise up to Rs 200 cr via QIP
New Delhi: J K Cement is planning to raise up to Rs 200 crore from institutional investors for funding its long-term growth plan, including capital expenditure.
"In order to meet the fund requirement for fundings its long-term growth and general corporate purposes including for capital expenditure and working capital...Company is proposing to make a QIP (qualified institutional placement) of up to Rs 200 crore by way of issuing equity share...," it said in a recent notice to shareholders.
The Kanpur-based company, with 7.5 million tonnes per annum (mtpa) capacity, has convened a meeting of shareholders on February 9.
As on September-end, promoter holding in the company stood at 66.57 percent.
The company has four manufacturing units -- three in Rajasthan and one in Karnataka -- with a total capacity of 7.5 mtpa.
JK Cement is gearing up to make its first international foray with the setting up of a greenfield dual process white cement-cum-grey cement plant in the free trade zone (FTZ) at Fujairah, UAE to cater to the GCC and African markets.
The proposed plant at Fujairah would have a capacity of 0.6 mtpa for white cement with a flexibility to change over its operation to produce upto one mtpa of grey cement.
This apart, it is also planning to enhance its capacity by 3 mtpa through brownfield expansions.
JK Cement had posted Rs 54.09 crore net profit on a total revenue of Rs 714.88 crore during the July-September quarter of the current fiscal.