Shares of Century Textiles and Industries Ltd. rose by 4% on Wednesday, September 4, following the announcement of a corporate guarantee valued at ₹400 crore issued in favor of Hindalco Industries Ltd.
This guarantee is associated with the acquisition of a land parcel in Kalwa, Thane, which will be purchased by Ekamaya Properties Private Ltd (EPPL). EPPL is a wholly-owned subsidiary of Birla Estates Private Ltd (BEPL), which is itself a wholly-owned subsidiary of Century Textiles.
The guarantee was formalized through a deed executed on September 4, 2024. The payment for the land will be made in several installments over time. Although related entities are involved in the transaction, Hindalco Industries is not considered a related party. The transaction is being conducted at arm’s length.
As of 9:21 AM, Century Textiles shares were trading 3.34% higher at ₹2,402.80.