AACcelerating Expansion: BigBloc’s StarBigBloc Secures Approvals for Indore Plant

Updated: April 22, 2025 11:36

Image Source: Prop News Time

StarBigBloc Building Material Ltd, a wholly-owned subsidiary of BigBloc Construction Limited, has received all necessary approvals to set up a state-of-the-art greenfield AAC (Autoclaved Aerated Concrete) block manufacturing plant in Indore, Madhya Pradesh. This strategic expansion marks a significant step in BigBloc’s growth trajectory, reinforcing its leadership in sustainable construction materials and expanding its footprint in central India.

Project Details and Strategic Expansion

StarBigBloc has purchased about 57,500 square meters of land in Khargone district, Madhya Pradesh, at ₹6 crore (including stamp duty) to set up the new AAC block facility.
The new factory will strengthen BigBloc's footprint in central India, serving the increasing demand for environment-friendly building products in Madhya Pradesh and nearby areas.
The firm has one plant presently in Kheda, Gujarat, with an annual production capacity of 250,000 cubic meters, catering to Gujarat, Rajasthan (Udaipur), and Madhya Pradesh (Indore).

Capacity and Expansion Plans

The expansion is a part of BigBloc's growth plan to raise its overall production capacity from 250,000 cubic meters per year to more than 1.2 million cubic meters per year over the next 4-5 years.
The firm plans to reach revenue of ₹428 crore by FY27-28, from ₹94.18 crore in FY24, with aggressive EBITDA and net profit goals.
Fundraising plans, including the option of an SME IPO or preferential issue, have been approved by the board to facilitate this aggressive growth.

Sustainability and Innovation

StarBigBloc has reconfirmed its sustainability commitment by commissioning an 800 KW solar rooftop power project, considerably lowering its carbon footprint.
AAC blocks are becoming more popular due to their light weight, thermal insulation, sound insulation, fire resistance, and eco-friendliness, which make them a choice for housing, commercial, and industrial construction.

Market Outlook and Demand Drivers

Growing demand for AAC blocks is driven by government infrastructure development programs and affordable housing programs such as the Pradhan Mantri Awas Yojana (PMAY).
The expansion will enable BigBloc Construction to leverage the increasing demand for green building products and strengthen its leadership position in the industry.

Leadership Commentary

BigBloc Construction Ltd. Chairman Narayan Saboo pointed out that the expansion is in line with the company's plans to expand geographically, invest in research and development, and build its brand and market reputation.

Sources: Business Standard, DSIJ, India Cement Review, Angel One, NBM&CW, Prop News Time, The Property Times

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