Star Cement Ltd Share Price

History of Star Cement Ltd

Star Cement Limited, formerly known Cement Manufacturing Company Limited was incorporated on November 02, 2001, is one of the largest cement manufacturers in North Eastern Region (NER). The Company later on, changed the name from Cement Manufacturing Company Limited to Star Cement Limited on June 21, 2016. Since then, it engaged in manufacturing and selling of Cement Clinker & Cement. The company's manufacturing units are located at Lumshnong, Meghalaya and Guwahati, Assam. The Company sells its product across north eastern and eastern states of India. Star Cement's 0.6 MTPA integrated cement plant at Lumshnong (Meghalaya) is proximate to key raw material reserves of limestone, coal and shale. The company also added 0.46 MTPA cement unit in Meghalaya (via its subsidiary) aggregating an ...installed capacity of 1.0 MTPA. Star Cement was recognized by the Meghalaya state government for its pioneering cement plant in the backward area of Lumshnong in 2005. The company's output is marketed through a 400 billion- dealer network resulting in the largest market share in North East India. The Company's institutional customers comprise Larsen & Tourbo, National Hydro Power Corporation, Public Works Department, Indian Railways and Ministry of Defense. The company's plant at Lumshnong has been producing clinker from 23rd Dec.2004 and cement from 2nd Feb.2005. This is the largest cement plant in North East India, which is shortly to be expanded to 1 Million Ton per annum capacity. Presently the company is marketing super quality clinker to different grinding units located in India, Nepal & Bhutan, along with 3 types of cement such as Ordinary Portland Cement 43 grade, Ordinary Portland Cement 53 grade, Portland Pozzolana Cement Part I Fly ash based. During FY 2006, the company has undertaken expansion of existing cement plant capacity from 1200 tons per day (TPD) to 1800 TPD. During FY 2006, the Company acquired 99.56% equity shares of Megha Technical & Engineers Private Limited (MTEPL) consequent to which MTEPL has become a subsidiary of the Company with effect from 23 March 2006. MTEPL has set up a 9 MVA power plant and also has a large fleet of heavy machine equipments and vehicles used in mining activities. MTEPL is setting up a cement-grinding unit with annual installed capacity of 4.5 Lac tonnes. Shyam Century Ferrous Ltd (SCFL) increased its shareholding the company to 76.73% from 45.71% as at 31 March 2005, consequent to which the company became a subsidiary of SCFL. In terms of Scheme of Amalgamation approved by the Board of Directors of SCFL, SCFL is proposed to be amalgamated with Century Plyboards (I) Ltd (CPIL) with effect from 1 April 2005. Since CPIL is a leading manufacturer of plywood, veneer and laminates having reputed and precious national brand like 'CENTURY PLY', the Company is expected to be benefited with such association. In FY 2014-15, the Company launched its newly developed 'Anti-Rust Cement' in the markets of North Eastern Region (NER). The product is presently under test marketing and is expected to present a better volume in years to come. During FY 2014-15, the Company had launched its product in the same brand name 'STAR CEMENT' in the markets of West Bengal & Bihar. It has tied up with two grinding units in West Bengal to augment its capacity, in addition to supplying cement to these markets from its own units located in Assam and Meghalaya. During FY15, the Company made long term arrangement with its subsidiary, M/s. Meghalaya Power Limited for supply of quality power at competitive rates. It has been able to capitalize on the opportunity of availability of reliable and quality power sourced from Indian Energy Exchange (IEX) for its grinding unit at Guwahati and to reduce the power cost too by optimizing the source mix between power supplied by IEX and Grid. In FY15, on the Logistics front, the Company has expanded distribution network in the states of West Bengal, Bihar & Jharkhand besides reaching out to interior most areas of North East India. Warehousing network was increased substantially during the year. Railway siding near Guwahati Grinding Unit was constructed and commissioned in record time giving boost to Railway Rake handling capacity for inbound and outbound traffic while ensuring cost saving on Transportation and handling expenses. During FY 2015, the Company incurred capital expenditure of Rs. 40.28 Lacs for carrying out R&D Projects in the plant for development of advanced systems. During FY 2017, the Company has installed a Pre-Grinder Unit with the existing Clinker Grinding Ball Mill at its Lumshnong unit. With installation of pre-grinder, the ball mill will be fed with pre-ground clinker and other additives in order to produce cement. The main equipment has been sourced from M/s. Humboldt Wedag India with German Technology. The installation of Pre Grinder unit has resulted into increase in clinker grinding capacity of Lumshnong unit from existing 1800 tons per day (TPD) of cement to 3,000 (TPD). The installation of pre-grinder will result into reduction in power consumption in clinker grinding. The Pre-Grinder Unit has commenced commercial production from 31st March 2017. The Hon'ble National Company Law Tribunal at Guwahati vide its order dated 7th February 2017, approved amalgamation of erstwhile holding company M/s. Star Ferro and Cement Limited with the company effective from 22nd February, 2017. The appointed date for amalgamation was 1st April 2016. In line with terms of Scheme of Amalgamation, 29,54,90,077 equity shares of the company were allotted on 8 April 2017 to the shareholders of erstwhile Star Ferro and Cement Limited in the ratio of 1.33 equity shares of Re 1 each of the company for every 1 (one) equity share of Re 1 each of erstwhile Star Ferro and Cement Limited held by them as on the record date i.e. 3d April 2017. The Company has initiated steps to list its shares with National Stock Exchange of India Limited and BSE Limited. During FY 2017, the Company incorporated a wholly owned subsidiary Star Century Global Cement Private Limited in Myanmar on 28 June 2016. The Company enhanced its clinker production capacity to 2.8 MTPA in FY 2018-19. During the year 2020, Company launched Star Anti Rust Cement across the markets of North East, North Bengal & East Bihar. Private Railway Siding was commissioned at Guwahati Works bringing in operational efficiencies and cost savings. The Company commissioned a new cement unit in Mohitnagar (Siliguri, West Bengal) with a capacity of 2.0 MTPA in 2020-21. In 2022-23, it commissioned a 12.3 MW waste-heat recovery system plant at Lumshnong, Meghalaya. It commissioned a new cement unit at Sonapur at Guwahati, with a capacity of 2 Mn tons per annum in 2023-24. It commissioned a new clinker unit of 3.3 MTPA capacity and a 12 MW Waste heat recovery system at Lumshnong, Meghalaya. The Company commenced commercial production on April 21, 2024, from its' New Clinker Line of 3.3 MTPA Capacity situated at Lumshnong, Meghalaya. It commissioned a new cement unit at Sonapur at Guwahati, with a capacity of 2 million tons per annum in FY 2024-25.