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Akzo Nobel gins on the buzz of plan to set up manufacturing unit in Bangladesh

12 Aug 2014 Evaluate

Akzo Nobel India is currently trading at Rs. 1046.00, up by 7.00 points or 0.67% from its previous closing of Rs. 1039.00 on the BSE.

The scrip opened at Rs. 1054.90 and has touched a high and low of Rs. 1060.80 and Rs. 1044.55 respectively. So far 2298 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 1168.00 on 28-Jul-2014 and a 52 week low of Rs. 750.00 on 05-Sep-2013.

Last one week high and low of the scrip stood at Rs. 1079.00 and Rs. 1000.00 respectively. The current market cap of the company is Rs. 4912.86 crore.

The promoters holding in the company stood at 72.96% while Institutions and Non-Institutions held 11.95% and 15.09% respectively.

Akzo Nobel India is reportedly planning to set up manufacturing unit via tolling agreement in Bangladesh. In this regard, the company has tied-up with Bangaldesh distributing conglomerate ACI and depending on the success of this move the company would look to set up its own unit in the neighboring country in the next 24-36 months.   

A tolling agreement is a contract between one company that owns raw materials and another that is engaged to process those materials.

Meanwhile, the company reported almost 59% growth in its net profit at Rs 55.18 crore in Q1 FY15 as compared to Rs 34.81 crore in same period previous year. The boost in the profit was mainly aided by phasing of mutual fund maturities. Moreover, the company’s net sales stood at Rs 627.93 crore against Rs 561.55 crore in a year ago period, a growth of about 12%.

 

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