Buzzing stock: Birla Corporation to set up new plant in Maharashtra

Birla Corporation is set to invest Rs 2,400 crore for setting up a greenfield cement manufacturing plant in Mukutban, Maharashtra. This plant will have a capacity of 4 million tonnes. It would take over Kolkata based company’s total cement production capacity of 15.5 million tonnes per annum (MTPA). This would make the total capacity of 19.5 MTPA.

The company would finance this capital expenditure through debt and its internal accruals for this new plant. 

Last year, Birla Corporation had acquired 100 percent stake in Reliance Cement Company Private Limited (RCCPL). Perfect Cement was the brand it acquired through RCCPL. This has helped the company in building its brand. It would have an advantageous position to gain the opportunity of the growing demand for cement in Western and Central India.

The company had launched two new cement brands namely, Concrecem and Milticem in March 2017. 

On Monday, the stock had closed at price of Rs 645.60. Today, it opened at Rs 950 and has touched intra-day high of Rs 953.

Birla Corporation is a company which provides products ranging from cement to jute goods, polyvinyl chloride (PVC) floor covering and auto trims & steel castings.