AMARAVATI: Regency Ceramics, a well-known ceramic manufacturing company listed on the BSE/NSE, has made a significant move by acquiring Segno Ceramics Private Limited. Segno Ceramics is located in Bapatla district, Andhra Pradesh, and the acquisition became effective on August 22, 2024. This acquisition gives Regency Ceramics complete control over Segno’s manufacturing plant, which will help the company increase its production capacity.
This deal was an all-cash transaction, meaning Regency Ceramics did not have to spend a lot on capital expenses. This helps the company avoid putting too much strain on its cash flow. The newly acquired plant is located on 50 acres of land and has a production capacity of 3.6 million square meters (MSM) per year. With this new capacity, Regency Ceramics can now offer a wider range of products, including Glazed Vitrified Tiles and Polished Vitrified Tiles, and strengthen its presence in the markets of South and East India.
Satyendra Prasad Narala, the Managing Director of Regency Ceramics, expressed his optimism about the acquisition. He mentioned that this move addresses the company’s immediate production needs and enhances its market presence. He also shared that Regency Ceramics has a strong reputation in states like Tamil Nadu, Andhra Pradesh, Telangana, Karnataka, Kerala, and Orissa. The company is now focused on achieving a revenue target of Rs. 100 crores in the next calendar year.
Mr. Narala also highlighted that this acquisition is in line with Andhra Pradesh Chief Minister Chandrababu Naidu’s vision of promoting industrial growth and job creation in the state. He emphasized that Regency Ceramics is committed to supporting this vision by increasing industrial activity and contributing to the economic growth of the region. With the Andhra Pradesh government’s focus on infrastructure development, Regency Ceramics is well-positioned to play a key role in the state’s industrial revival and help drive its economic progress.
The plant in Bapatla is equipped with advanced machinery and strong manufacturing capabilities. When combined with Regency Ceramics’ engineering and technical expertise, the company is well-prepared to take advantage of the growing ceramics market. The plant is also strategically located, offering excellent connectivity for exports, as it is close to both Chennai and Krishnapatnam ports.
