JK Lakshmi Cement Limited has been officially declared as the 'Preferred Bidder' for the Mining Lease for New Umrangso Limestone Block in Assam, following an e-auction conducted by the Government of Assam. The company disclosed this development under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, through a regulatory filing.

Official Declaration Details

The formal announcement was communicated to both stock exchanges, confirming the company's successful participation in the government-conducted e-auction process. The acquisition details are outlined below:

Strategic Significance for Raw Material Security

Limestone serves as a crucial raw material in cement manufacturing, and securing access to quality limestone reserves is essential for maintaining production efficiency. The 200-hectare New Umrangso limestone block provides JK Lakshmi Cement with enhanced raw material security and supports the company's manufacturing requirements in the northeastern region.

Regulatory Compliance and Documentation

The disclosure was made by Company Secretary through official channels to both stock exchanges, ensuring full compliance with listing requirements. This acquisition strengthens the company's mineral resource portfolio and establishes a stronger presence in Assam's industrial landscape, offering long-term raw material availability for sustained operations.

JK Lakshmi Cement has received approval from its Committee of Directors for the acquisition of 77.96% equity shareholding in NECEM Cements Ltd. The committee meeting held on March 12, 2026, formally approved the strategic acquisition deal valued at ₹19 crore plus takeover of certain past liabilities.

Regulatory Approval and Agreement Details

The Committee of Directors meeting, which commenced at 4:00 PM and concluded at 5:30 PM, considered and approved the acquisition under Regulation 30 of SEBI Listing Regulations. Following the approval, JK Lakshmi Cement has entered into a Share Purchase Agreement with NECEM and its promoters/shareholders. The transaction is expected to be completed on or before March 31, 2026.

Target Company Profile

NECEM Cements Ltd., incorporated on September 3, 1985, operates from its registered office in Guwahati, Assam. The company's financial performance shows revenue from operations of ₹1.56 crore and a net loss of ₹4.59 crore for the financial year ended March 31, 2025, with total assets of ₹11.31 crore.

Strategic Value and Expansion Plans

The acquisition provides JK Lakshmi Cement access to approximately 150 bigha of council leased land with captive mining rights in Assam, featuring limestone reserves of approximately 40 million tonnes. The company plans to utilize NECEM's assets along with additional adjacent land to establish a clinkerisation unit of 0.95 million tonnes and a cement grinding unit of 0.95 million tonnes.

This strategic move aligns with JK Lakshmi Cement's vision of achieving 30 million tonnes capacity and graduating to a large-sized cement group. The acquisition will strengthen the company's footprint in North East India while securing long-term limestone reserves to support sustainable investment in the region. The transaction does not involve any related party transactions, with no promoter or group company interests in the acquired entity.