Garware Hi-Tech Films Limited has informed the Exchange about Capacity addition
GRWRHITECH · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Garware Hi-Tech Films' Board has approved a capacity expansion at its Waluj plant in Chhatrapati Sambhaji Nagar, Maharashtra. The company will install a new lamination line with 1200 LSF per annum capacity, increasing total capacity from 4200 to 5400 LSF per annum (a ~29% increase). The project will cost approximately Rs. 191 Crores plus taxes and will be funded through internal accruals. The expansion is targeted to be completed within 14 months. The company cited that existing capacity is running at optimum level and the new line is needed to cater to future growth.
The expansion signals strong demand outlook and management confidence in business growth. The Rs. 191 Crores capex funded by internal accruals avoids dilution but will reduce cash reserves. Shareholders may view this positively as it positions the company for higher revenues without equity dilution.