Dalmia Eyes JP Assets, Plans Backup Expansion in Jaisalmer
Cement

Dalmia Eyes JP Assets, Plans Backup Expansion in Jaisalmer

Dalmia Bharat remains committed to acquiring Jaiprakash Associates’ (JAL) assets as part of its nationwide growth strategy. However, in parallel, the company is preparing a Plan B involving a greenfield expansion in Jaisalmer, with a final review expected by the end of FY26.

Puneet Dalmia, Managing Director and CEO, stated that while the company awaits the outcome of its Rs 57 billion bid for JP assets, it continues developing alternative growth routes. Dalmia Bharat concluded FY25 with a cement capacity of 49.5 million tonnes per annum (mtpa) and expects to add 14 to 14.5 mtpa through ongoing projects in Belgaum, Kadapa, and the Northeast by FY28.

In an investor call, Dalmia said the company will assess progress quarterly—both on the JP acquisition and internal project execution—while staying ready to act swiftly.

Dalmia Bharat and Adani Enterprises are leading contenders in the bidding process for JAL’s full asset portfolio, which includes cement plants, hotels, land parcels, power plants, and other properties undergoing corporate insolvency proceedings. The acquisition would significantly strengthen Dalmia’s footprint in central and northern India.

Describing the company as a “pure-play cement player,” Dalmia emphasised that JP’s cement business aligns strategically with its broader ambitions. The previous Rs 57 billion deal collapsed when JP entered insolvency proceedings in late 2022. Consequently, Dalmia recorded a Rs 1.13 billion impairment loss in Q1FY25 related to a discontinued tolling arrangement.

If successful, the JP acquisition could add 9–10 mtpa to Dalmia’s capacity. This includes a clean 5 mtpa asset in Rewa, Madhya Pradesh, a potential joint venture with SAIL in Bokaro Jaypee Cement Ltd (BJCL), and a clinker unit in Uttar Pradesh under arbitration with Ultratech.

Dalmia noted that the committee of creditors is expected to review bids soon and may offer more clarity on the timeline. An early resolution is anticipated, though no firm date has been set.

Meanwhile, as a contingency, the company is progressing with its Jaisalmer expansion—planned as a 6 mtpa greenfield plant aimed at strengthening its presence in northern India. Land acquisition and mining lease are complete, and environmental clearance is underway.

The company intends to reassess the Jaisalmer project by March 2026. Even if construction begins in Q1FY27, Dalmia expects commissioning by FY28. However, final commitment will depend on how the JP acquisition unfolds.


Dalmia Bharat remains committed to acquiring Jaiprakash Associates’ (JAL) assets as part of its nationwide growth strategy. However, in parallel, the company is preparing a Plan B involving a greenfield expansion in Jaisalmer, with a final review expected by the end of FY26.Puneet Dalmia, Managing Director and CEO, stated that while the company awaits the outcome of its Rs 57 billion bid for JP assets, it continues developing alternative growth routes. Dalmia Bharat concluded FY25 with a cement capacity of 49.5 million tonnes per annum (mtpa) and expects to add 14 to 14.5 mtpa through ongoing projects in Belgaum, Kadapa, and the Northeast by FY28.In an investor call, Dalmia said the company will assess progress quarterly—both on the JP acquisition and internal project execution—while staying ready to act swiftly.Dalmia Bharat and Adani Enterprises are leading contenders in the bidding process for JAL’s full asset portfolio, which includes cement plants, hotels, land parcels, power plants, and other properties undergoing corporate insolvency proceedings. The acquisition would significantly strengthen Dalmia’s footprint in central and northern India.Describing the company as a “pure-play cement player,” Dalmia emphasised that JP’s cement business aligns strategically with its broader ambitions. The previous Rs 57 billion deal collapsed when JP entered insolvency proceedings in late 2022. Consequently, Dalmia recorded a Rs 1.13 billion impairment loss in Q1FY25 related to a discontinued tolling arrangement.If successful, the JP acquisition could add 9–10 mtpa to Dalmia’s capacity. This includes a clean 5 mtpa asset in Rewa, Madhya Pradesh, a potential joint venture with SAIL in Bokaro Jaypee Cement Ltd (BJCL), and a clinker unit in Uttar Pradesh under arbitration with Ultratech.Dalmia noted that the committee of creditors is expected to review bids soon and may offer more clarity on the timeline. An early resolution is anticipated, though no firm date has been set.Meanwhile, as a contingency, the company is progressing with its Jaisalmer expansion—planned as a 6 mtpa greenfield plant aimed at strengthening its presence in northern India. Land acquisition and mining lease are complete, and environmental clearance is underway.The company intends to reassess the Jaisalmer project by March 2026. Even if construction begins in Q1FY27, Dalmia expects commissioning by FY28. However, final commitment will depend on how the JP acquisition unfolds.

Related Stories

Gold Stories

Next Story
Products

Koemmerling opens Navi Mumbai experience centre

Koemmerling, a brand of the profine Group, has expanded its presence in the Mumbai metropolitan region with the opening of a new experience centre in Navi Mumbai and launched its Allure S46 minimal sliding door system for the Indian market.Located in CBD Belapur, the facility was inaugurated by Peter Mrosik, Owner and CEO, profine Group, along with Farid Khan, Chairman and Managing Director, profine India, and Kamal Bajaj, CEO, profine India.The company said the new centre will showcase its portfolio of uPVC and aluminium window and door systems to architects, developers and homeowners.The ina..

Next Story
Products

India's waterproofing market nears Rs 150 bn milestone

India's waterproofing industry is approaching a market size of Rs 150 billion and is expected to surpass the $2 billion milestone, according to speakers at the 2nd India International Waterproofers Conference & Expo 2026 organised by the Waterproofers Association of India (WAI) in New Delhi.The two-day event brought together more than 20 speakers, 55 international delegates and 53 exhibition booths, with discussions focusing on climate-resilient construction, advanced waterproofing technologies and international collaboration.Inaugurating the event, Durga Shanker Mishra, former Secretary, ..

Next Story
Real Estate

Dilip Buildcon Q1 FY27 Revenue at Rs 23.78 billion

Dilip Buildcon Limited reported consolidated revenue from operations of Rs 2,378 crore in Q1 FY27, along with EBITDA of Rs 429 crore and profit after tax of Rs 128 crore.Consolidated EBITDA margin stood at 18.1%, improving from 17.1% in Q4 FY26. On a standalone basis, revenue from operations was Rs 1,930 crore, EBITDA stood at Rs 199 crore and PAT was Rs 39 crore, with an EBITDA margin of 10.3%.The company’s order book stood at Rs 27,691 crore as of 30 June 2026, compared with Rs 28,830 crore as of 31 March 2026. Roads and highways accounted for 17.1% of the order book, irrigation and water ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement