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KPR Mill extends rally on expansion plans

The stock has rallied over 15% in past three trading sessions on the Bombay Stock Exchange.

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SI Reporter Mumbai
Last Updated : Jun 12 2014 | 3:21 PM IST
KPR Mill has moved higher by 6% to Rs 220, extending its past two days 11% rally, after textiles firm said it initiated expansion plans in its garment business in order to meet increased demand in garment exports.

The company is expanding capacity at its existing facility and plans to set up a new facility near Tirupur - Asia's largest Knitwear cluster, KPR Mill said in a statement.

The company plans to add capacity of 10 million pieces per annum (p.a.) at its existing garment facility. This will increase its present capacity of 30 million pieces to 40 million pieces per annum (single shift). The facility is expected to be operational during the first quarter of FY15.

The company said it has decided to set up a new garment facility with capacity of 12 million pieces p.a. at Thekkalur, near Tirupur.

These capacity additions are expected to enhance the overall garment operations of the company by over 50% in 2 years, it added.

The stock opened at Rs 209 and hit a low of Rs 204 on BSE. A combined 218,000 shares changed hands on the counter so far on BSE and NSE.
 

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First Published: Jun 12 2014 | 3:20 PM IST

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