{"id":25397,"date":"2023-12-06T06:45:00","date_gmt":"2023-12-06T06:45:00","guid":{"rendered":"https:\/\/dailynewsindia.co.in\/index.php\/2023\/12\/06\/bigbloc-commences-work-on-the-2nd-phase-of-aac-blocks-expansion-at-wada\/"},"modified":"2023-12-06T06:45:00","modified_gmt":"2023-12-06T06:45:00","slug":"bigbloc-commences-work-on-the-2nd-phase-of-aac-blocks-expansion-at-wada","status":"publish","type":"post","link":"https:\/\/dailynewsindia.co.in\/index.php\/2023\/12\/06\/bigbloc-commences-work-on-the-2nd-phase-of-aac-blocks-expansion-at-wada\/","title":{"rendered":"BigBloc commences work on the 2nd Phase of AAC Blocks expansion at Wada"},"content":{"rendered":"<div>\n<p>Company to invest around Rs. 30 crore for doubling the production capacity of AAC block at Wada Plant to 5 lakh cubic meter per annum<\/p>\n<p><strong>Surat (Gujarat) [India], December 6<\/strong>: Bigbloc Building Elements Pvt Ltd, wholly owned subsidiary of <a href=\"https:\/\/nxtbloc.in\/\">BigBloc Construction Limited<\/a>, one of the largest manufacturers of Aerated Autoclaved Concrete (AAC) Blocks, Bricks and Panels in India has initiated work on the 2<sup>nd<\/sup> phase of AAC blocks plant at Wada in Palghar, Maharashtra. Company aims to double the production capacity of Wada plant to 5 lakh cubic meter per annum of AAC blocks from existing 2.5 lakh cubic meter per annum.<\/p>\n<p>In Phase 2 of Wada project, company is adding 2.5 lakh cubic meter per annum of AAC block capacity by investing around Rs. 30 crore by mix of internal accruals and debt. Company expects to complete the project within six month.<\/p>\n<p><strong>Highlights<\/strong><\/p>\n<ul>\n<li>At full capacity, Wada plant is expected to generate annual revenues of Rs. 200 crore per annum.<\/li>\n<li>The company is eligible for 60% subsidy from the state government for the project<\/li>\n<li>Company aims for a leadership position in India\u2019s AAC Block Space with 13.75 lakh cubic meter per annum capacity post completion of all expansion plans<\/li>\n<li>Company expects to achieve 20-25% sales growth in FY24 with a healthy EBITDA margin of 20-25%.<\/li>\n<\/ul>\n<p>Company has established 2.5 lakh cubic meter per annum capacity of AAC block at Wada in Phase I of the project. In April 2023, the company commenced commercial operations of the plant which is currently operating at 85% capacity utilisation.<\/p>\n<p>Post completion of phase 2 of Wada plant, total production capacity of the AAC block plant will increase to 5 lakhs cubic meter. At full capacity, Wada plant is expected to generate annual revenues of Rs. 200 crore per annum. The company is eligible for 60% subsidy from the state government for the Wada project.<\/p>\n<p>Incorporated in 2015, BigBloc Construction Ltd is one of the largest and only listed company in the AAC Block Space with an installed capacity of 8.25 lakhs cubic meter per annum. Company\u2019s manufacturing plants are located in Umargaon (Vapi) and Kapadvanj (Ahmedabad) in Gujarat and Wada (Palghar) in Maharashtra. It is among very few company in AAC industry to generate carbon credits.<\/p>\n<p><strong>Mr. Narayan Saboo, the Chairman,\u00a0Bigbloc Construction Ltd<\/strong>\u00a0said, \u201cCompany will be in a better position to serve the growing demand of AAC blocks post completion of expansion of Wada Phase 2 and joint venture plant with SCG. Post completion of the current expansion company\u2019s manufacturing capacity will increase to 13.75 lakhs cubic meter per annum. Company\u2019s strategic growth initiatives, operational efficiency and commitment to launching environment friendly and sustainable building products will contribute healthy growth and maximise value for all stakeholders in the near to medium term.\u201d<\/p>\n<p>Company in joint venture with Thailand\u2019s SCG Group, SIAM Cement Big Bloc Construction Technologies Pvt Ltd is setting up 3 lakhs cubic meter per annum plant for ALC Panels and AAC Blocks at Kapadvanj, Ahmedabad (Gujarat). Construction at the facility is running in full swing and company intend to start commercial production at this unit in approximately five to six months. This is SCG Group\u2019s first investment in India. BigBloc Construction\u00a0holds 52% in the joint venture company.<\/p>\n<p>Company has reported robust financial growth over the years with 3 year Net Profit CAGR at 132%, Sales CAGR at 19%. For H1FY24, company reported consolidated net profit of Rs. 13.58 crore (PAT margin 11.90%) and EBITDA of Rs. 27.80 crore (EBITDA Margin 24.37%).\u00a0Total income during H1FY24 was reported at Rs. 114.06 crore, rise of 9.5% Y-o-Y. Company expects to achieve 20-25% sales growth in FY24 with a healthy EBITDA margin of 20-25%.<\/p>\n<p><strong>BigBloc Construction Limited<\/strong> is India\u2019s leading AAC block manufacturing company. The Company markets its products under brand name <strong>\u2018NXTBLOC<\/strong>\u2018. The Company has executed over 2,000 project so far and has another 1,500 plus in the pipeline. The Company client includes Lodha, Adani Realty, IndiaBulls Real Estate, Prestige, Piramal, Oberoi Realty, Shirke Group, Shapoorji Pallonji Group, Raheja, PSP Projects, L&amp;T, and Sunteck among others. \u00a0The company is installing 450 KW solar rooftop facilities at Umargam and Kapadvanj manufacturing facilities to keep the carbon footprints to the lowest possible. By this, company will be able to replace approximately 33% of its power requirement at both its plant with renewable green energy \u2013 solar power.<\/p>\n<p>Green and non-toxic building construction material, AAC blocks are lightweight, soundproof, and fire resistant, offer superior build quality, eco-friendly and economical too compared to traditional bricks. Use of AAC blocks are expected to grow at a much faster rate in the coming years owing to increased awareness, growth in the infrastructure sector, demand for affordable housing, Government\u2019s impetus and regulations to use eco-friendly construction material and several other beneficial attributes over red clay and fly ash bricks.<\/p>\n<p>If you have any objection to this press release content, kindly contact pr.error.rectification@gmail.com to notify us. We will respond and rectify the situation in the next 24 hours.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Company to invest around Rs. 30 crore for doubling the production capacity of AAC block at Wada Plant to 5 lakh cubic meter per annum Surat (Gujarat) [India], December 6: Bigbloc Building Elements Pvt Ltd, wholly owned subsidiary of BigBloc Construction Limited, one of the largest manufacturers of Aerated Autoclaved Concrete (AAC) Blocks, Bricks and&#8230;<\/p>\n<p class=\"more-link-wrap\"><a href=\"https:\/\/dailynewsindia.co.in\/index.php\/2023\/12\/06\/bigbloc-commences-work-on-the-2nd-phase-of-aac-blocks-expansion-at-wada\/\" class=\"more-link\">Read More<span class=\"screen-reader-text\"> &ldquo;BigBloc commences work on the 2nd Phase of AAC Blocks expansion at Wada&rdquo;<\/span> &raquo;<\/a><\/p>\n","protected":false},"author":1,"featured_media":25398,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[54],"class_list":["post-25397","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-business"],"_links":{"self":[{"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/posts\/25397","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/comments?post=25397"}],"version-history":[{"count":0,"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/posts\/25397\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/media\/25398"}],"wp:attachment":[{"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/media?parent=25397"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/categories?post=25397"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dailynewsindia.co.in\/index.php\/wp-json\/wp\/v2\/tags?post=25397"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}