Displaying items by tag: Aditya Birla

India: Aditya Birla subsidiary Grasim Industries has raised US$136m through fully paid unsecured non-convertible debentures (NCDs). The company has allotted the NCDs on a private placement basis.

India: Metals producer Hindalco has won a contract to supply fellow Aditya Birla subsidiary UltraTech Cement with 1.2Mt/yr of bauxite residue from its aluminium operations, up by 180% from 250,000t in the 2020 financial year, which ended on 31 March 2020. The Economic Times newspaper has reported that UltraTech Cement will use the bauxite residue – or ‘red mud’ – in cement production at 14 of its plants across seven states. As a result of the deal, Hindalco, the world’s largest producer of rolled aluminium, will have full bauxite residue utilisation across three of its refineries. Managing director Satish Pai said, “We have been working with producers to develop high-grade inputs for the cement industry.”

India: Aditya Birla subsidiary Grasim Industries recorded a loss of US$36.0m in the first-quarter of the 2021 financial year (1 April 2020 – 30 June 2020), compared to US$26.9m profit in the first quarter of the 2020 financial year. The company attributed this to a 61% year-on-year fall in sales to US$260m from US$668m due to ‘lower realisation and weak demand’ during coronavirus lockdown. Consolidated cement sales over the period were US$228m, down by 29% year-on-year from US$320m.

India: Both Germany-based HeidelbergCement and Aditya Birla subsidiary UltraTech have responded to the government’s partial lifting of the coronavirus lockdown for rurally-located continuous industries by resuming ‘partial operations in some production facilities.’ Orient Cement subsidiary CK Birla said, “We are in the process of partially resuming our operations at our plants in Karnataka and Maharashtra.” Producers require the permission of the relevant state government to restart plants. In Telangana, where the government has not lifted the lockdown, CK Birla’s facilities remain shut.

The Economic Times newspaper has reported that ‘limited transportation facilities, higher than usual inventory and stricter rules regarding labour safety’ have added a note of caution to resumed operations. Shree Cement managing director Hari Mohan Bangur said, given the continuation of restrictions on construction in cities, “We expect just 10% of normal consumption, with hopes of a gradual increase.”

India: Representatives from Aditya Birla subsidiary UltraTech, Ramco Cements, India Cements, JSW Cement and KCP have met with Andhra Pradesh Chief Minister Jaganmohan Reddy and other state officials to negotiate the sale of their products to construction companies working on public projects ‘at lower prices.’ The Hindu newspaper has reported that the state forecasts a year-on-year rise in its annual cement consumption of 67%, to 30Mt in 2020 from 18Mt in 2019. India Cements’ vice chair and managing director Narendra Srinavasan said that all planned infrastructure projects ‘ought to be implemented in order to bail out the industry from the turmoil it has been undergoing.’

India: The Competition Commission of India (CCI) has fined Aditya Birla flagship company Grasim Industries US40.6m for anti-competitive practices, specifically for failing to disclose its discount policy as instructed by the CCI. Accord Fintech News has reported that cement accounts for almost 50% of Grasim Industries’ profit.

India: Aditya Birla subsidiary UltraTech has announced plans for a 3.5Mt/yr clinker production capacity expansion to its integrated Andhra Pradesh plant in Bhogasamudram, Anantapur district, to 10Mt/yr from 6.5Mt/yr. The new kiln line will cost US$169m and reach completion in March 2022.

India: Integrated cement and grinding plants expansions by companies including Dalmia Bharat, JK Cement and Aditya Birla subsidiary UltraTech of an additional 23Mt/yr are set to bring India’s total installed cement capacity to 508Mt/yr by the end of 2020. Business Standard newspaper has reported that steady prices year-on-year and ‘softening input costs’ have facilitated the expansions in spite of a ‘flattish trend in industry-wide volume growth.’

India: The state government of Maharashtra has granted Aditya Birla Group subsidiary UltraTech Cement environmental clearance for a planned 16MW waste heat recovery (WHR) generator at its 3.6Mt/yr integrated Awarpur plant in Chandrapur district. Projects Today has reported that the state’s Environmental Impact Assessment Authority has also cleared the company’s plan to expand its Korpana coal-fired power plant in Chandrapur to 15MW from 10MW. The producer will place orders for construction contracts in February 2020.

India: Emami Group has indicated that it will receive bids for its cement division Emami Cement from mid-January 2020. Business Standard newspaper has reported that Aditya Birla’s UltraTech Cement is likely to submit an offer in the region of US$0.94bn for the company – over 20% lower than Emami Group’s previously projected evaluation of US$1.18bn for Emami Cement. It also reported the possible involvement of Switzerland-based LafargeHolcim’s Ambuja Cements in the upcoming auction.