Home Politics Amara Raja resumes operation after APPCB closure notices

Amara Raja resumes operation after APPCB closure notices

by Staff
156 views Vijayawada

Amara Raja Batteries restarted production at its plants in Andhra Pradesh after the High Court suspended the closure orders from Andhra Pradesh Pollution Control Board (APPCB). Stock prices had taken a hit after the notice of closure, but on the morning of the 10th, Amara Raja Batteries (NSE: AMARAJABAT) was trading at Rs. 791.5 per share, a jump of Rs. 15 or nearly 2% on Sensex.

On April 30th, the company received closure orders from the APPCB for plants located in Karakambadi and Nunegundlapalli village, Chittoor District. Amara Raja maintained that as a responsible corporate, the company has placed the highest priority on environmental management systems and has consistently adopted best environmental practices.

Some of Amara Raja’s clients are from sensitive industries such as defense, hospitals, and telecom. The company stated that it will engage its contingency plan to avoid a dislocation of supplies to these industries. The company’s regulatory filing added that Amara Raja has been committed to social and environmental responsibility.

On May 7th, Amara Raja Batteries informed SEBI that the Hon’ble High Court of Andhra Pradesh had granted an interim suspension of the orders of APPCB. After stocks dropped by almost 10% last week after the closure orders, the news of the suspension of said orders was a relief to shareholders. According to a press release, the company has begun production at both the plants in Chittoor after a temporary disruption.

It is important to know that Amara Raja Batteries of the Amara Raja Group was co-founded by TDP member and Lok Sabha MP Jayadev Galla. Jayadev Galla had campaigned for the TDP in Tirupati in the recently held by-elections. He is also currently the managing director of the Group.

close

Related Posts