MRF plans to invest Rs 4,500 crore on new facility in Gujarat
Company will manufacture automotive tyres, tubes, flaps and related products at the plant.
New Delhi: Tyre major MRF Ltd toady 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 state for manufacturing of 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 or debt, MRF said. Currently, MRF Ltd has eight manufacturing facilities in South India. MRF shares today ended up 4.41 per cent at Rs 55,340.50 apiece on BSE.