CEAT to manufacture passenger car tyres at TN plant

CEAT informed that the new plant would manufacture radial tyres for truck, bus, car and also make tyres for 2-wheelers. The company had signed a pact with Tamil Nadu government last week to set up a tyre manufacturing company.

The exchange had sought detail on the news about the MoU with the TN government. The company clarified that it signed the agreement for setting up a greenfield facility near Chennai, Tamil Nadu, for an investment of Rs. 4,000 crore for a period of 10 years.

In December 2016, the company had cleared an investment of Rs. 2,800 crore and in February 2018, an additional investment of Rs. 706 crore was approved by the company's board. These investments were for incremental manufacturing capacity of the car, lorry, bus radial tyres and two-wheeler tyres.

On Tuesday, the company's intraday high is recorded at Rs 1,327.50 and an intraday low at Rs. 1305 per share on the BSE. Its 52-week high is Rs. 2030 per share ad its 52-week low is recorded at Rs. 1232.20 on the BSE.

At 10:25, the stock was trading at Rs. 1,324 per share, up by 0.77 per cent. The BSE Sensex was trading at 36,161.75 level, up by 0.61 per cent and Nifty50 traded at 10,913.15 per cent, up by 0.56 per cent.