JK Paper subsidiary shuts manufacturing operations due to Covid-19; stock dips 1.5%

The company announced a temporary closure of operations of The Sirpur Paper Mills Limited plant in Telangana.

Aug 25, 2020 10:08 IST India Infoline News Service

Covid-19 crisis has cast a shadow on JK Paper Limited's smooth functioning. The company’s subsidiary in Telangana, The Sirpur Paper Mills Limited has temporarily closed its production at Sipur-Kighaznagar manufacturing facility due to current market conditions.

“The Sirpur Paper Mills Limited, subsidiary of the company, has temporarily shut down its production operations at its manufacturing facility at Sipur-Kighaznagar, District Komarambheem Asifabad, Telangana, in view of the current market condition consequent to Covid-19 pandemic situation,” company informed the exchanges on Monday.

It further added that the Covid-19 pandemic situation and consequent frequent lockdown in various parts of the country has weakened the demand of products of the aforesaid subsidiary company, due to which its management has decided to temporarily shut down its manufacturing operations.

JK Paper Ltd is currently trading at Rs97.60, down by Rs1.6 or 1.61% from its previous closing of Rs99.20 on the BSE.

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