StarBigBloc Building Material Ltd, a wholly-owned subsidiary of BigBloc Construction Limited (BSE: 540061), one of India’s leading manufacturers of Aerated Autoclaved Concrete (AAC) Blocks, Bricks, and Panels, has received shareholder’s approval to raise funds through an Initial Public Offering (IPO). The IPO aims to unlock shareholder value, raise growth capital for expansion, and potentially enhance the overall valuation of BigBloc Construction Ltd.
The proposal was approved at the company’s Extraordinary General Meeting (EGM) held on June 13, 2025. The IPO proposal is subject to necessary regulatory approvals, prevailing market conditions, and other applicable clearances.
Commenting on the development, Mr. Mohit Saboo, Director and Chief Financial Officer, BigBloc Construction Ltd said, “This is a significant milestone in our growth journey. The IPO will enable StarBigBloc Building Materials Limited to access capital markets, drive next phase of expansion, and solidify its market position across India. This step aligns with our long-term vision to scale efficiently and establish our stronghold in building material sector. The AAC block industry is set to play a pivotal role in India's construction sector, and our company is ready for a significant leap forward.”
Incorporated in 2015, BIGBLOC Construction Ltd is one of the largest and only listed AAC block manufacturer in India, with a 1.3 million CBM annual capacity across plants in Gujarat (Kheda, Umargaon, Kapadvanj) and Maharashtra (Wada). For FY25, BigBloc Constructions Limited reported Revenue from Operations of Rs. 224.6 crore.
StarBigBloc Building Material Ltd currently operates a manufacturing facility in Kheda, near Ahmedabad, with an installed capacity of 250,000 cubic meters per annum. This plant effectively caters to a broad market, covering major parts of Gujarat and extending its reach to Udaipur in Rajasthan and Indore in Madhya Pradesh.
In May 2024, the Board of Directors of StarBigBloc Building Material Ltd approved a proposal to raise funds through an SME IPO or Preferential Issue, subject to necessary approvals and prevailing market conditions. The company aims at increasing its production capacity from the current 250,000 cubic meters per annum to over 1.2 million cubic meters per annum over the next 4–5 years. As part of its growth roadmap, the company is targeting revenues of Rs. 428 crore by FY27–28, with a projected EBITDA of Rs. 125 crore and net profit of Rs. 80 crore.
Recently, Starbigboc Building Material received all key approvals for its upcoming project in Indore, Madhya Pradesh. These include Town Planning Clearance (TPC), Land Registration, Gram Panchayat approval, and the Non-Agricultural (NA) order for the acquired land. With these clearances in place, the company is set to establish India’s largest greenfield AAC Blocks manufacturing facility at the proposed site, marking a major milestone in its expansion strategy and reinforcing its leadership in the sustainable building materials space.
Earlier in Feb 2025, the company acquired approx. 57,500 sq. mts. land at Khasra No. 382, 387, 389/2, Gram Nimrani, Tehsil Kasrawad, District – Khargone, Madhya Pradesh for the purpose of AAC Blocks business expansion in central India. This strategic land acquisition was aimed at expanding AAC Blocks business to better serve the growing demand across central India.
