HeidelbergCement India Ltd Share Price

History of HeidelbergCement India Ltd

HeidelbergCement India Limited was initially incorporated as 'Mysore Cements Limited' on May 13, 1958 as a Public Limited Company by a Karnataka-based industrialist in technical and financial collaboration with Kaisers of USA. The name of the Company was changed from 'Mysore Cements Limited' to 'HeidelbergCement India Limited' w.e.f. April 16, 2009. HeidelbergCement, with its core products being cement, ready mixed concrete, aggregates and related activities, is one of the leading producers of building materials worldwide. HeidelbergCement India Limited is a Subsidiary of HeidelbergCement Group, Germany. Presently, the Company is operating 3 cement plants located at Damoh (Madhya Pradesh), Jhansi (Uttar Pradesh) and Ammasandra (Karnataka) with an installed cement manufacturing capacity ... of 6.26 Mn Tonnes Per Annum. HeidelbergCement is one of the world's largest building materials companies. With the takeover of the Italian cement producer Italcementi, HeidelbergCement became the No. 1 in aggregates production, No. 2 in cement, and No. 3 in ready-mixed concrete. The core activities of Company include production and distribution of cement and aggregates, two essential raw materials for producing concrete. The first 1 lac ton per annum dry process cement plant with an investment of Rs.220 lacs at Ammasandra Dist. Tumkur, Karnataka was commissioned in 1962. Immediately thereafter, an expansion was planned which doubled MCL's capacity to 2 lac tpa in 1966 at an investment of Rs.170 lacs Kaisers subsequently took control of the company. During the year 1974, the mining lease was acquired for limestone deposits in the area. The second hand power plant was purchased from Madhya Pradesh Electricity Board to meet 50% of the requirements of Damoh unit. MCL made steady progress and increased the capacity at Ammasandra to 6 Lac tpa with an investment of other Rs.230 lacs in 1978. Damoh in Madhya Pradesh, a 5 lac tpa green-field cement plant was commissioned its production in the year 1983, which was set up at an investment of Rs.2950 lacs. MCL also modernised its Ammasandra unit at an investment of Rs.3600 lacs, which was successfully completed in January, 1989 and also in the same year commissioned state of art 6 stage preheater Kiln at an investment of Rs.8000 lacs. The Company received a letter of intent in the year 1990 for establishing a new cement plant in Raipur district of Madhya Pradesh with a capacity of 1.4 million tonnes per annum. The Damoh unit of the company had started to export slag cement to Bangladesh since 1992. MCL had concluded power projects in the year of 1998 to become self-sufficient in power at its three plants across the country. During the year 1999, the company made a joint venture with Nesher Israel Cement Enterprises of Israel to set up worth of Rs 600-crore 1.5-million-tonne cement plant at Gulbarga in Karnataka. MCL had shelved its plan to sell off its plants at Jhansi, Damoh and Narsingarh in the year of 2002. During the year 2003-04, in caution of loss in cement business, the company had entered into production of sponge iron in idle Kiln at Ammasandra. After a year, an induction furnace was added which went in to production in March of the year 2005. The sponge division of the company was discontinued in its entirety in the year 2006. A joint venture relationship was created with Heidelberg Cements Group in July of the same year 2006. During the year 2007, the company had launched 'Mycem' brand cement in the market. Heidelberg Materials Group entered the Indian Market in early 2006, driven by a desire for growth and the opportunities presented by the rapidly developing economies. The Group acquired a controlling stake in Mysore Cements Limited and initially formed a joint venture with Indorama Cement Limited, which evolved into a full acquisition by 2008. Following the merger of Indorama Cement with Mysore Cements in 2009, the Company was rebranded as HeidelbergCement India Ltd. In the same year, the Company embarked on a Brown?eld capacity expansion in Central India, boosting its cement manufacturing capacity from 2.1 million tonnes per annum (MTPA) to 5.4 MTPA. The company took a major decision to set-up an eco-efficient Waste Heat Recovery based Power Generation Plant at its clinkerisation unit at Narsingarh, District Damoh (M.P.). It increased the market share in Central India and penetrated new areas bringing new channel partners to its fold. Cement under a new brand name 'Mycem power' was also launched in Southern India.The company sold its Raigad unit as a going concern to JSW Steel Limited on a slump sale basis with effect from the close of business hours on 3 January 2014. The entire sale consideration for the same aggregating to Rs 1,660 million has been received during the fifteen months period ended 31 March 2015. The aforesaid sale transaction has resulted into net gain of Rs 603.1 million. Despite all odds faced by the cement industry and intense competition during the year ended 31 March 2016, HeidelbergCement India successfully increased its market share in Central India which led to a 5.11% increase in its sales volume over the previous year (on an annualized basis). The bond with the channel partners and customers was further strengthened through the innovative concept of CADS (Channel Authorization Digital Signage) an electronic digital display at the dealers' shops. During the year the credit rating in respect of the company's Non-Convertible Debentures has been upgraded to 'Ind AA' (with stable outlook) from 'IND AA-' by India Ratings and Research Pvt. Ltd., a credit rating agency. During the year ended 31 March 2017, HeidelbergCement India's 12,000 Tonnes Fly-ash Silo Project was commissioned at Imlai plant which will secure fly-ash inventory for sustained production. The company's Waste Heat Recovery Power Generation Project (WHRPG) which was commissioned in Q4F Y 2016 at Narsingarh (MP), attained generation stability during FY 2017. While the power tariff was increased in MP and Karnataka last year - tariff was further increased in MP from April 2017. Better consumption parameters, improved fuel-mix and savings from WHRPG helped the company to overcome the impact of higher fuel and power costs during the year. The clinker manufacturing plants of the company viz., Narsingarh and Ammasandra Plants were enrolled by the Bureau of Energy Efficiency(BEE) under Perform, Achieve and Trade Scheme'(PAT) which aims at enhancing energy efficiency of the industrial units. Both the plants were able to achieve the targets set by BEE for reducing specific energy consumption under PAT Cycle 1(target year 2014-15 against energy consumption in baseline year 2009-10). Brand visibility enabled the company to increase sales volume by 4% despite the challenging demand supply situation owing to shortage of sand in Uttar Pradesh. During FY 2018, the company has received third tranche of interest-free loan of Rs 693.9 million from the Government of Uttar Pradesh. During FY 2019, the Company generated 72,726 Mega Watt of power from the Waste Heat Recovery Power Plant at Narsingarh, which caters to about 37% of its total power requirement. It commissioned Selective NonCatalytic Reduction (SNCR) System, which enabled the Company reduce Nitrogen Oxide emissions by 40% which occurs during clinkerisation process. During the quarter ending March 31, 2020, the Company completed debottlenecking of its cement grinding capacities in lmlai (Madhya Pradesh) and Jhansi (Uttar Pradesh), which got enhanced by 0.5 Million Tonnes Per Annum (MTPA) and 0.55 MTPA respectively. During final quarter of FY 2020, Company's aggregate cement grinding capacity enhanced to 6.26 MTPA. It enhanced the AFR Handling System/ storage capacity in 2023. It commissioned 5.5 MW Solar Power Plant in Damoh, Madhya Pradesh in 2025.