India’s leading dairy products processor Kwality
has decided to close down its business operations in Dubai. In a BSE filing, the company clarified that its Board of Directors took this decision after deliberating on various issues, including the heavy slump in the international prices of skim milk powder (SMP) and anhydrous milk fat (AMF).
The company’s Dubai set up Kwality Dairy was established as a wholly-owned subsidiary in a free trade zone of the UAE, mainly to increase its global footprint and to develop and cater to new markets.
The Board, which reached the decision unanimously, has decided to wrap up its operations in a phased manner.
In other news, the company’s Non-Executive Director Sidhant Gupta tendered his resignation, which was also accepted by the Board.
Kwality is currently trading at Rs17.20 down by Rs0.8 or 4.44% from its previous closing of Rs18 on the BSE.
The scrip opened at Rs17.50 and has touched a high and low of Rs18.45 and Rs17.10 respectively. So far 33,22,775 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs434.44cr.