Sagar eyes 18% rise in production

Sagar Cements is expecting around 18 per cent jump in its production to 2.6Mt in FY17-18 following the consolidation of a grinding unit acquired last year.

Speaking during the company's earnings conference call, Executive Director S Sreekanth Reddy said last year volumes reached 2.2Mt. In the 3Q the company acquired a grinding unit in Anakapally, Visakhapatnam, which will boost production volumes further. "Keeping all these things in mind the overall outlook for us for Sagar is to grow from a 2.2Mt to a 2.6Mt, " Money Control quoted him as saying.

The company is also targeting an overall market growth of 10 per cent on consolidated basis from its captive market spread between south Maharashtra and Odisha.

Going forward, the company has raised sufficient amount from the market to fund its future growth plans. "The QIP [Qualified Institutional Placement] and the issuance of preference shares has provided us the necessary growth capital to meet the funding requirements for acquisition and expansion programme," he added.

Mr Reddy added that Sagar has plans to set up a 18MW coal based and 1MW solar captive power units at the company's Mattampally plant," he said.