Philips Carbon Black Ltd (PCBL), a prominent carbon black manufacturer, has received approval from the Government of Andhra Pradesh for the allocation of 116.62 acres of land. This land, located at Naidupeta MPSEZ, is intended for the establishment of a state-of-the-art rubber black and value-added chemicals manufacturing unit, a significant move to boost the company’s production capacity.
On November 27, 2024, PCBL confirmed that the Andhra Pradesh Government had approved the land allotment under a notification that detailed the terms and conditions. The 116.62 acres, priced at Rs.1,948 per square meter, will be allotted to the company, provided the Naidupeta SEZ is de-notified in favour of PCBL and other conditions are met. The project, which is set to be constructed in phases, will require an investment of Rs.3,718 crore.
This initiative is expected to generate direct employment for around 200 individuals, contributing significantly to the local economy. The project’s approval came after the recommendations from the State Investment Promotion Committee (SIPC) and the approval from the State Investment Promotion Board (SIPB) in a meeting held on November 19, 2024. PCBL is required to meet the stipulated investment and employment conditions as well as adhere to the timelines set by the Andhra Pradesh Industrial Infrastructure Corporation (APIIC).
PCBL’s new venture will allow the company to expand its capacity in producing high-quality rubber black and value-added chemicals, which are essential to various industries, including automotive and rubber manufacturing. With the project expected to generate hundreds of jobs and foster further industrial growth in the region, it is a promising step for both PCBL and the state. By investing in this manufacturing unit, PCBL aims to strengthen its position in the market while adhering to sustainability and local employment guidelines.
PCBL’s stock, As of 1:06 PM, trades at Rs.428.20 share down by 0.57% from its previous day’s closing price. Over the past month, it has experienced a decline of 4.39% On a year-over-year basis, the stock has surged by 68.40%,
Conclusion: The Andhra Pradesh Government’s approval for land allotment to PCBL marks an important step in the company’s expansion plans. The approval sets the stage for the construction of a new manufacturing facility that will increase production capacity and create employment opportunities in the region.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
Published on: Nov 28, 2024, 2:36 PM IST
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