Pioneer Distilleries Ltd to stop operations at Balapur MENA plant

The manufacturing activities of Pioneer Distilleries Ltd's 100 Kilo Liters Per Day (KLPD) Molasses Based Extra Neutral Alcohol (MENA) plant(s) at the factory of the Company located at Balapur (V), Dharmabad (Taluk), Nanded District 431 809, Maharashtra, have been stopped with effect from February 01, 2016 on account of shortage in water availability due to less rains during monsoon season in the region. Subsequently, the Company has explored various options of procuring water from various other sources for operating the MENA plant which have not been fruitful.

Now, it seems the Company does not have an option other than to stop the operations of the said MENA plant for the aforesaid reason, which was noted by the Board of the Company on March 03, 2016. Revenue of Rs.692,510,000/- constituting 46 % of turnover of the Company was contributed by the aforesaid MENA plant during the financial year 2014-15.

Shares of PIONEER DISTILLERIES LTD. was last trading in BSE at Rs.122.5 as compared to the previous close of Rs. 128.9. The total number of shares traded during the day was 42331 in over 539 trades.

The stock hit an intraday high of Rs. 135.3 and intraday low of 122.5. The net turnover during the day was Rs. 5568080.

Source : Equity Bulls

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