Shares of ACC moved higher by 3.5% to Rs 1,485 apiece on BSE, after the cement manufacturer said its board approved Rs 30 billion expansion plan.
The company said its board has granted its approval for setting up a Greenfield integrated cement plant at Ametha, Madhya Pradesh along with expansion of the existing grinding unit in Tikaria, Uttar Pradesh and a third grinding unit in Uttar Pradesh.
The board also approved the setting up of 1.1 million tonnes per annum (MTPA) cement grinding facility at the existing location at Sindri, Jharkhand.
The above projects are estimated to cost approximately Rs 30 billion, which is proposed to be funded through internal accruals, it added.
The company has an existing capacity of 33.41 MTPA and in 2017 the utilization rate was 79%. The above projects are proposed to be completed within a period of three years, which will allow the company to strengthen its presence in its markets, the company said.