Welspun India surges over 7% on signing pact with Egypt Cotton Association
Shares of Welspun India surged over 7 per cent intraday after reports that the company has signed a pact with Egypt Cotton Association to market Egyptian cotton worldwide.
The BSE has sought a clarification from Welspun India with reference to news flashed on a business channel: "Welspun India enters into strategic agreement with Egypt Cotton Association”
The company later in a press release said that it has entered into a strategic agreement with Cotton Egypt Association
“The sheer nature of Egyptian Cotton makes it a luxury to be cherished by all. Welspun wants the world to know about Egyptian cotton and we want to help promote it among the consumers and the makers alike,” said Dipali Goenka, CEO and Joint Managing Director of Welspun India.
The scrip was trading 7.35 per cent up at Rs 94.20 around 1.50 pm. Shares of the company opened at Rs 88.80 and touched a high and low of Rs 94.50 and Rs 88.50, respectively, in trade.
The company on January 31 reported a 16 per cent fall in consolidated net profit at Rs 149.40 crore for the third quarter ended December 31, 2016. It had posted a net profit of Rs 178.30 crore in the corresponding quarter last year.
Income from operations in the quarter under review stood at Rs 1,500.85 crore, up 3.85 per cent, compared with Rs 1,445.13 crore in the same period last year.
In August last year, US retail giant Target Corporation terminated contract with the Gujarat-based textiles maker over alleged lapses in its products supply.
Following this, Walmart stopped selling Welspun India's Egyptian cotton products. Welspun India, later, appointed consultancy firm Ernst & Young to look into the alleged lapses.
The BSE has sought a clarification from Welspun India with reference to news flashed on a business channel: "Welspun India enters into strategic agreement with Egypt Cotton Association”
The company later in a press release said that it has entered into a strategic agreement with Cotton Egypt Association
“The sheer nature of Egyptian Cotton makes it a luxury to be cherished by all. Welspun wants the world to know about Egyptian cotton and we want to help promote it among the consumers and the makers alike,” said Dipali Goenka, CEO and Joint Managing Director of Welspun India.
The scrip was trading 7.35 per cent up at Rs 94.20 around 1.50 pm. Shares of the company opened at Rs 88.80 and touched a high and low of Rs 94.50 and Rs 88.50, respectively, in trade.
The company on January 31 reported a 16 per cent fall in consolidated net profit at Rs 149.40 crore for the third quarter ended December 31, 2016. It had posted a net profit of Rs 178.30 crore in the corresponding quarter last year.
Income from operations in the quarter under review stood at Rs 1,500.85 crore, up 3.85 per cent, compared with Rs 1,445.13 crore in the same period last year.
In August last year, US retail giant Target Corporation terminated contract with the Gujarat-based textiles maker over alleged lapses in its products supply.
Following this, Walmart stopped selling Welspun India's Egyptian cotton products. Welspun India, later, appointed consultancy firm Ernst & Young to look into the alleged lapses.
