Shares of Pudumjee Paper Products Limited surged 5% today, hitting the upper circuit at ₹160.39 on the NSE. This rise comes after the company announced a significant milestone in its expansion plans. The company received Consent to Establish for a new specialty paper manufacturing unit at Mahad from the Maharashtra Pollution Control Board.
Pudumjee Paper Products receives approval to establish Rs 1,350 crore specialty paper unit
Expansion Details:
The proposed manufacturing unit at Mahad is expected to bolster the company’s production capacity by 68,000 metric tonnes (MT) annually. This addition complements Pudumjee Paper’s existing Pune facility, which operates with a capacity of 75,000 MT per annum and currently has an impressive utilization rate of 86%, translating to 65,000 MT.
The new facility will involve an estimated investment of ₹1,350.09 crore and is projected to become operational within the next five years. The company has stated that the mode of financing for the project will be finalized in due course.
This strategic move highlights the company’s commitment to meeting the growing demand for specialty paper grades while enhancing its position in the competitive market.
Stock Performance:
- Day’s High: ₹160.39
- Day’s Low: ₹153.10
- Previous Close: ₹152.76
- Market Cap: ₹1,519 crore
- P/E Ratio: 12.04
- Dividend Yield: 0.37%
- 52-Week High: ₹232.20
- 52-Week Low: ₹53.05
- Volume Traded: 984.77K shares
Key Highlights of Expansion:
- Existing Capacity: 75,000 MT per annum (Pune facility with 86% utilization).
- Proposed Addition: 68,000 MT per annum (Mahad facility).
- Investment: ₹1,350.09 crore.
- Timeline: Project completion within five years.
- Objective: To meet rising demand for specialty paper grades and enhance market presence.
