Ginni Filaments Limited has informed the Exchange about Closure of operations
GINNIFILA · price
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Awaiting price reaction for this filing.
Ginni Filaments has decided to shut down its Garment manufacturing division located at Sector-63, Noida, with the closure expected by 30th June 2025. The reason given is non-viability of the division due to high operational costs and continuing operational losses. For the last financial year, the Garment division contributed ₹7,395.63 lakhs in turnover (about 19.5% of the company's total turnover of ₹37,957.74 lakhs) and ₹487.14 lakhs to net worth (about 2.8% of total net worth of ₹17,318.26 lakhs). The company has clarified there is no binding agreement yet for sale of this unit or division, and stated that the closure will not have any material or adverse effect on overall operations.
While the division accounts for nearly 20% of revenue, its contribution to net worth is small (under 3%), and management has explicitly said there will be no material adverse effect. Short-term sentiment may be neutral to mildly positive as the company exits a loss-making unit, though investors should watch for any one-time closure costs and the redeployment of freed-up capacity or capital.