Gravita commenced new Recycling Plant at Mundra, Gujarat

Gravita, a leading Indian multinational recycling company has today announced operationalization of its new Battery recycling unit at Mundra Port, Gujarat. In Phase-I, 19,500 MTPA plant is strategically located at the Mundra Port and is equipped with state-of-the-art facility facilities including latest technology and automated processes.

Gravita is expecting an increase in share of higher-margin business from the key overseas market across Lead, Aluminium and Plastic recycling segment. Closer proximity to the port will increase efficiency of operations as import of scrap and export of finished goods will be carried out using the same port. This will result in optimization of logistics cost coupled with reduction in working capital cycle of the company. Overall, the plant is well positioned to cater to the growing demand from overseas market and with higher operational efficiency it is expected to further enhance profitability of the company.

The Company has incurred capital expenditure of Rs 32 Cr for setting up of the Phase-I of the facility for which Rs. 26 Cr has been funded through external borrowings and remaining by internal accruals. Going forward, company has plans to incur additional capital expenditure of Rs 30 Cr on this facility so as to increase the capacity of this plant from 19,500 MTPA to 48,000 MTPA.

The new plant is an important milestone for Gravita group and management remains fully committed to grow its business by investing in expanding its operations and build capability to tap the growing opportunities arising from the increased awareness of recycling.

Shares of Gravita India Limited was last trading in BSE at Rs. 234.45 as compared to the previous close of Rs. 239.30. The total number of shares traded during the day was 103088 in over 2995 trades.

The stock hit an intraday high of Rs. 243.00 and intraday low of 232.85. The net turnover during the day was Rs. 24533304.00.

Source : Equity Bulls

Keywords

GravitaIndia INE024L01027 5 BatteryRecyclingUnit CommercialProduction Mundra Gujarat Lead Aluminium Plastic