AMI Organics Ltd to shift Ankleshwar facility to Jhagadia

As part of the capacity and production rationalization exercise, AMI Organics Ltd shall transfer the current production operations of speciality chemical business at Ankleshwar facility, which was acquired from Gujarat Organics Limited to one single location at Jhagadia facility. The shifting of speciality chemicals business at single location will help Company achieve better utilization of the plant and improve operational efficiency. There shall be no revenue loss and employee layoffs because of transfer of aforementioned production operation from Ankleshwar to Jhagadia unit of Company. Meanwhile all the current production operations at Company's Surat - Sachin unit, and Jhagadia unit are running normal business as usual.

The company intends to restructure the Ankleshwar production facility and utilize the same for the expansion of pharma intermediate business to support future growth requirement. The planning, design and engineering for proposed capex at Ankleshwar unit is under progress and further details will be shared once the capex plan is finalised. Company has already received Environment Clearance for the proposed restructure of Ankleshwar unit.

Shares of Ami Organics Ltd was last trading in BSE at Rs. 953.75 as compared to the previous close of Rs. 874.20. The total number of shares traded during the day was 67919 in over 4666 trades.

The stock hit an intraday high of Rs. 981.45 and intraday low of 873.75. The net turnover during the day was Rs. 64213875.00.

Source : Equity Bulls

Keywords

AMIOrganics SpecialityChemicalsBusiness Ankleshwar Jhagadia