NUVOCO Vistas announces its expansion plans in the East

Nuvoco Vistas Corp. Ltd., India's trusted building materials company and the fifth largest cement player, in terms of capacity, announced its expansion plans in-line with its business strategy. The Company has been working on multiple projects to achieve sustainable growth, with the aspiration to diversify its market reach and footprint.

Enhancing cement grinding capacity by 4 MMTPA in the East with an investment of ~INR 200 crores

The Company is strengthening its presence in the East by expanding cement grinding capacity through a new mill at the Arasmeta Cement Plant, complemented by series of debottlenecking projects at Jojobera, Panagarh, and Odisha Cement Plants. Including a new mill, the Company plans to add 4 MMTPA of grinding capacity through equipment upgrades, process improvements, and internal debottlenecking initiatives by the end of FY2026-27. Key timelines include additional capacities of ~1 MMTPA during the Q3 of FY2025-26, followed by ~2 MMTPA by the end of FY 2025-26 and ~1 MMTPA during FY 2026-27. With these enhancements, Nuvoco's cement capacity in the East will rise by over 20% within the next one and a half years, increasing from 19 MMTPA to 23 MMTPA.

Adding Competitive Advantage by Completion of existing enhancement projects

Nuvoco has been consistently focusing on upgrading its manufacturing facilities to stay ahead of market needs and serve its customers better. The Company has completed several internal projects that enhance its competitiveness and processes, including a new coal unloading and clinker loading wagon system at the Sonadih Cement Plant, which reduces rake handling time by ~50%. Additionally, the Odisha Cement Plant Railway siding will enable seamless rail transport of raw materials and cement to new markets, reducing freight costs. Collectively, these initiatives are expected to lower operational costs, improve plant capacity utilization, and reinforce Nuvoco's ability to deliver competitively and sustainably with greater access to Eastern Madhya Pradesh, Eastern Uttar Pradesh, West Bengal and Odisha markets.

On this momentous occasion, Mr. Jayakumar Krishnaswamy, Managing Director, Nuvoco Vistas Corp. Ltd. said, "With cement demand in India estimated to grow at a CAGR of 7-8% in FY2025-26, we are well-placed for a growth trajectory in the long run. Our recent acquisition of Vadraj Cement Limited, coupled with these strategic investments in augmenting our existing facilities, is a testament to our relentless pursuit to continue our leadership position in the East while acquiring higher market share in the West and North Markets."

He further added, "At Nuvoco, our growth journey is deeply aligned with our commitment to sustainability. With the planned capacity enhancement, we are strategically increasing the share of blended cement which will help us to serve our customers with more sustainable choices. By improving our Clinker-to-Cement ratios, we expect to reduce CO₂ emissions considerably. This initiative reinforces our vision of building a safer, smarter and sustainable world with a stronger market presence."

Shares of Nuvoco Vistas Corporation Ltd was last trading in BSE at Rs. 455.70 as compared to the previous close of Rs. 463.95. The total number of shares traded during the day was 8387 in over 516 trades.

The stock hit an intraday high of Rs. 464.50 and intraday low of 454.00. The net turnover during the day was Rs. 3854400.00.

Source : Equity Bulls

Keywords

NuvocoVistasCorporation INE118D01016 CementProducts ExpansionPlan EastIndia