The shares of this biofuel manufacturer gained up to 1.13 percent after the company announced amalgamation with Yamuna Bio Energy Pvt. Ltd. for Strategic Growth in the Biodiesel Sector.
With a market capitalization of Rs 862.07 Crores, The shares of Kotyark Industries Ltd were trading at Rs 987.00 a share, an increase of 0.38 percent from the previous closing price of Rs 983.25 a share.
According to the exchange filing, Kotyark Industries Ltd announced the completion of its amalgamation with Yamuna Bio Energy Pvt Ltd, a move that underscores a strategic alliance in the pursuit of sustainable growth and enhanced market share.
Additionally, established players in the biodiesel industry, Kotyark Industries, and Yamuna Bio Energy have manufacturing facilities located in Rajasthan and Gujarat, respectively. By combining the strengths of both businesses, this amalgamation is expected to produce a synergy that will streamline costs and increase total manufacturing capacity.
Kotyark Industries Ltd’s revenue increased by 166 percent from Rs 48 Crore in Q2FY23 to 124 Crore in Q2FY24. During the same period, net profits increased by 125 percent from Rs 4 Crore to Rs 9 Crore.
The company has a 1,82,500 KL biodiesel annual production capacity with an Indigenously designed manufacturing facility and Kotyark Industries Ltd has diversified revenue streams. Additionally, By capitalizing on its advantages and strengths, Kotyark Industries has established a name for itself in the Indian biofuel market in just six years of operation.
The ambitious target set by the Indian government is to increase the percentage of biodiesel blending into diesel to 5% by 2030 from the current level of less than 1%. Kotyark Industries Limited has a significant opportunity as a result of this strategic change.
Kotyark Industries Ltd is using environmentally friendly technology to support the development of renewable natural resources (BioFuels) and renewable green energy.
Written by:- Abhishek Singh
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