Aarti Industries secures supply contract over Rs 6,000 crore; stock jumps over 6% today

About the Contract 

Aarti Industries Limited (AIL) has announced that it has signed a long-term contract to provide a speciality chemical to a multinational corporation. The contract entails supply over a period of four years and is anticipated to generate revenue of over Rs 6,000 crore for the company.

The client is a member of an international corporation with a wide range of commercial ventures. For the previous five years, AIL has been providing the goods to this customer and has built strong relationships with them. Although the partnership has grown over time this contract has a medium- to long-term purpose of strengthening and deepening the relationship. Over the previous four to five years the product’s volume has steadily expanded and it has been a crucial component of AIL’s long-term growth strategy. AIL’s ongoing capital expenditure programs will meet the contract requirements and hence, AIL does not anticipate any additional capital expenditure for this contract.

Stock Performance:

In the last trading session, the stock closed at Rs 582.85. Today, it opened at Rs 600.5 and is currently trading at Rs 619.05, marking an increase of 6.21%. The company’s 52-week high stands at Rs 661.40, while its 52-week low stands at Rs 438.05.

About the company:

Aarti Industries is one of the most competitive benzene-based speciality chemical companies in the world. Over the last decade, AIL has transformed from an Indian company servicing global markets to what is fundamentally a global company selecting to manufacture out of India. The company globally ranks at 1st – 4th position for 75% of its portfolio. AIL has 100+ products, 700+ domestic customers, and 400+ export customers spread across the globe in 60 countries with a major presence in the USA, Europe, and Japan. AIL serves leading consumers across the globe of Speciality Chemicals and Intermediate for Agrochemicals, Pharmaceuticals, Polymers, Pigments, Printing Inks, Dyes, Fuel additives, Aromatics, Surfactants and various other speciality chemicals.

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