Stock Report

GHCL Ltd signs MOU to Invest Rs. 500 Crores in Tamil Nadu



Posted On : 2021-11-27 21:36:27( TIMEZONE : IST )

GHCL Limited India's leading Chemical & Textile Company signed a MoU (Memorandum of Understanding) with the Government of Tamil Nadu for investing Rs.500 Crores in the state. The MoU was signed by Mr. M. Sivabalasubramanian, CEO (Yarn Division) GHCL and Ms. Pooja Kulkarni IAS, MD & CEO, Guidance, Industries Department, Government of Tamil Nadu in the presence of Shri. M. K. Stalin, Chief Minister of Tamil Nadu during the Investment Conclave held on 23rd Nov at Coimbatore.

As per the MoU, GHCL will set up 40000 ring spindles in Manaparai, Tiruchirappalli district to produce synthetic and synthetic blended yarn to cater to knitting and weaving segments. It will also install another 40000 Ring Spindles with 24 Knitting Machines in Paravai, Madurai district to produce 100% cotton yarn and knitted fabrics. The company also plans to develop an EHT (extra high tension) power transmission facility in Manaparai location to ensure uninterrupted Power supply.

In order to fulfill its commitment towards sustainable business practices and reduce its carbon footprint, GHCL Ltd has proposed to set up a 20 MW Solar Power park near Musiri, Tiruchirappalli district. At the moment 52% of the energy requirements of GHCL's yarn business is fulfilled from renewable resources. Once the project is completed, almost 70% of GHCL's Energy requirement for the spinning business will be from renewables.

Commenting on the occasion, Mr. R S Jalan, Managing Director, GHCL Ltd. said "We are humbled and proud to be a part of Tamil Nadu's growth story which is befitting our long term association with the state. This MoU, will help us to create value for the community and is in accordance with our strategic growth plans and sustainability targets. Going forward, we will further enhance our energy portfolio to fulfil almost 90% of our energy requirements from Renewable sources."

Shares of GHCL Limited was last trading in BSE at Rs. 375.95 as compared to the previous close of Rs. 392.70. The total number of shares traded during the day was 13757 in over 1390 trades.

The stock hit an intraday high of Rs. 388.40 and intraday low of 373.00. The net turnover during the day was Rs. 5222398.00.

Source : Equity Bulls

Keywords

GHCLLimited INE539A01019 MoU GovernmentofTamilNadu ExpansionProject