Wonder Cement, part of Rajasthan-based RK Group is one of the largest cement makers in north-western India. The deal is expected to value Wonder Cement at $800-900 million. Investment bank JP Morgan has been hired to run the process.
The company plans to use proceeds from the proposed funding to increase its capacity from 6.75 million tonnes per annum (mtpa) to 11 mtpa by FY19.
Wonder Cement is already in the process of expanding capacity by setting up a 2 mtpa grinding unit in Maharashtra for Rs 450 crore. In addition, the company plans to set up an additional unit in Madhya Pradesh.