Shree Digvijay Cement Company Limited has successfully doubled its annual cement production capacity with the launch of a new cement grinding plant at its Sikka-Digvijaygram facility in Jamnagar, Gujarat. The company announced that effective October 1, 2025, its manufacturing capacity has increased from 1.5 million tonnes to 3.0 million tonnes per annum.

Expansion Details

The capacity expansion project, which has been in the works for some time, involved setting up a new cement grinding plant at the company's existing site in Sikka. This strategic move represents a significant boost to Shree Digvijay Cement's manufacturing capabilities, positioning the company for potential growth in the cement industry.

Official Announcement

In a disclosure to the stock exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, the company stated:

"We are now pleased to inform that effective from 01 October 2025, the Company has successfully commissioned its Cement manufacturing capacity from 1.5 Million Tons to 3.0 Million Tons Per Annum by setting up a new Cement Grinding Plant at Sikka."

Impact on Operations

The doubling of production capacity is expected to have several implications for Shree Digvijay Cement:

1. Increased Output: The company can now produce up to 3 million tonnes of cement annually, potentially leading to higher sales volumes.
2. Market Presence: The expanded capacity may allow Shree Digvijay Cement to strengthen its market position and cater to a larger customer base.
3. Operational Efficiency: The new grinding plant could potentially improve the company's operational efficiency and economies of scale.

Looking Ahead

While the expansion marks a significant milestone for Shree Digvijay Cement, the company has not provided specific details on how it plans to utilize the increased capacity or its impact on financial performance. Investors and industry observers will likely be watching closely to see how this expansion translates into business growth and market share in the coming quarters.

The company has made the announcement available on its official website at www.digvijaycement.com for further details and future updates.

Shree Digvijay Cement Company Limited has announced a series of strategic moves aimed at expanding its financial capabilities and market presence. The company has issued a postal ballot notice seeking shareholder approval for three special resolutions that could significantly impact its future operations and growth potential.

Increased Borrowing Powers

The cement manufacturer is proposing to increase its borrowing powers from the current INR 500.00 crores to INR 750.00 crores. This substantial increase is primarily driven by the company's need to fund a distribution agreement with Hi-Bond Cement (India) Private Limited.

Distribution Agreement and Refundable Deposit

Shree Digvijay Cement has entered into a distribution agreement with Hi-Bond Cement, which grants the company exclusive long-term distribution rights for Hi-Bond's cement products. The agreement, valued at approximately INR 600.00 crores, requires Shree Digvijay to provide a refundable deposit of up to INR 400.00 crores to Hi-Bond.

Current Financial Position

The company's financial snapshot reveals:

• Currently sanctioned borrowings: INR 300.00 crores
• Utilized borrowings: INR 196.00 crores

Creation of Charges on Company Assets

To secure the proposed increased borrowings, Shree Digvijay is also seeking approval to create charges on the company's assets. This move is essential to facilitate the new credit arrangements necessary for funding the distribution agreement and future growth initiatives.

Expansion of Investment Limits

The third special resolution proposes to expand the company's investment limits to INR 1,200.00 crores under Section 186 of the Companies Act. This increase is aimed at providing greater financial flexibility and enabling optimal financial structuring for future investments and financial assistance.

Options Agreement with Hi-Bond Cement

In addition to the distribution agreement, Shree Digvijay has approved an options agreement that provides the company with the potential to acquire 100% equity shares of Hi-Bond Cement within eight years. This strategic move could lead to complete control over Hi-Bond's assets, liabilities, and operations in the future.

Voting Process

Shareholders will have the opportunity to vote on these resolutions through an e-voting process:

• E-voting start date: September 19, 2025, at 9:00 A.M. (IST)
• E-voting end date: October 18, 2025, at 5:00 P.M. (IST)
• Results announcement: By October 20, 2025

These proposed changes represent significant strategic moves for Shree Digvijay Cement, potentially enhancing its market presence, distribution capabilities, and financial flexibility. Shareholders' approval of these resolutions could mark a new chapter in the company's growth trajectory in the competitive cement industry.