Ambuja to invest internal funds for expansion

Ambuja Cements, part of the Holcim group, plans to spend around INR8bn (US4133m) in 2014 from internal funds to partially finance its ongoing capacity expansion projects.

"The year 2014 will see capital expenditure worth INR802 crore over and above INR725 crore investment made in 2013. The entire proposed expenditure will be financed by internal accruals," Ambuja Cements said in its annual report.

The company, which has 27.25Mta of capacity, is setting up three greenfield plants, each with a capacity of 1.5Mta in Rajasthan, Madhya Pradesh and Uttar Pradesh. It is also adding clinker capacity in West Bengal and Rajasthan, each with a capacity of 0.8Mta.

Expansion at the Sankrail works is well underway. "So far, equipment orders have been placed and civil work is in progress. This project would add 0.80Mta grinding capacity to the unit along with other facilities," it said.