Sutlej Textiles to acquire design, sales and distribution biz of American Silk Mills; stock up 9%

Moneycontrol News

Sutlej Textiles and Industries share price rallied 9.3 percent intraday Wednesday on acquisition of American Silk Mills and investment in US arm.

"Finance and corporate affairs committee of the company, in October 17 meeting, approved investment up to USD 5 million in wholly owned subsidiary in the US," the company said in its filing.

The committee also approved the acquisition of design, sales and distribution business of American Silk Mills, LLC along with logo, archives, designs, customer contracts and some specific assets, it added.

The company will acquire this company through its step down subsidiary of wholly owned subsidiary in the US.

At 15:20 hours IST, the stock price was quoting at Rs 92.30, up Rs 5.95, or 6.89 percent on the BSE.