Covid-19 impact: Ashima faces operational and liquidity constraints

Post lifting of lockdown, there has been no significant activity in the textile markets so far.

Jun 18, 2020 05:06 IST India Infoline News Service

Material-rolls, Textile
Ashima Limited informed the exchanges Thursday that its manufacturing facilities, as well as administrative offices in Ahmedabad, were closed from March 23, 2020, to June 1, 2020, due to Covid-19 lockdown.

Recently, it has partially commenced manufacturing activity with the limited objective of fulfilling fabric delivery commitments for pending orders from customers.

Post lifting of lockdown, there has been no significant activity in the textile markets so far. At the same time, the company has been facing liquidity constraints due to the closure of operations. The company, therefore, is waiting for the business conditions to improve. Commencement of normal operations will take some more time.

Ashima Ltd trade ended at Rs6.10 up by Rs0.55 or 9.91% from its previous closing of Rs5.55 on the BSE.

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