JK Cement is up in the green; the stock which had closed yesterday at Rs.3204.65, opened today at Rs.3214 and rose on to hit a new 52-week high at Rs.3327.40. Volumes surged 2x.
The stock price hit the roof after the Board of the company signed a share purchase agreement to acquire 100% shareholding with Toshali Cements.
The total cost of acquisition is Rs 157 crore and post the acquisition, Toshali will become a subsidiary of JK Cement.
The acquisition will help the company expand its footprint into the eastern region.
Toshali Cements has two units, both in Odisha. One unit has a clinker capacity of 0.33 mtpa and grinding capacity of 0.198 mtpa. The second unit has a cement capacity of 0.435 mtpa.