Arvind Ltd update on Ankur unit

Based on the order of Honorable Gujarat High Court to close all the units discharging water effluent in the sewage lines of Ahmedabad Municipal Corporation (AMC), the effluent discharge connection of about 141 units including that of Ankur unit of Arvind Ltd were disconnected. Ankur unit has requisite approvals from relevant authorities to discharge treated industrial effluent. The company has filed a petition in the High Court against such closure and next hearing is likely to take place on 3 December, 2021.

Revenue and EBIDTA of the Ankur unit which manufactures voiles and other fabric primarily sold in domestic market was INR 232 crores and INR 28 crores for FY 20-21 which constituted 5% and 6% of the consolidated revenue and EBIDTA respectively.

Efforts are being made to resume normalcy but given the uncertainty of the situation, it is difficult to ascertain the impact on the production / operations at this point of time.

Shares of Arvind Limited was last trading in BSE at Rs. 120.50 as compared to the previous close of Rs. 116.65. The total number of shares traded during the day was 282213 in over 4718 trades.

The stock hit an intraday high of Rs. 121.85 and intraday low of 109.00. The net turnover during the day was Rs. 32774023.00.

Source : Equity Bulls

Keywords

ArvindLimited INE034A01011 Textiles AnkurUnit EffluentDischargeConnection Disconnected