MRF plans to set up Rs 4,500-cr manufacturing plant in Gujarat

 

MRF plans to invest Rs 4,500 cr on new facility in Gujarat

  Tyre major MRF Ltd on Wednesday said it will invest around Rs 4,500 crore in a phased manner over a period of ten years to set up a manufacturing unit in Gujarat.

 

The company has signed a memorandum of understanding (MoU) with the Gujarat government expressing its in-principle intention to set up a new manufacturing facility in the state for manufacturing automotive tyres, tubes, flaps and related products, MRF Ltd said in a regulatory filing.

"The company proposes to invest a sum of about Rs 4,500 crore over a ten year period in a phased manner. The new plant is planned to be set up in Gujarat with the intention of broad basing the company's manufacturing facilities across India," it added.

The project will be funded by internal accruals and debt, MRF said.

Currently, MRF Ltd has eight manufacturing facilities in South India.

MRF shares on Wednesday ended up 4.41% at Rs 55,340.50 apiece on BSE.