Speciality chemicals manufacturer Aether Industries announced on Friday that the Gujarat Pollution Control Board (GPCB) has ordered the company to stop production activity at its fire-affected manufacturing site in Surat until further orders.
The GPCB has also imposed a ₹50 lakh fine on Aether Industries as interim damage compensation, the company said in a filing to the stock exchanges.
Earlier this week, on Tuesday, a fire broke out at the manufacturing site of Aether Industries located at Plot No. 8203, GIDC Sachin, Surat. According to reports, six people died in the incident and 25 were injured, while one person remains missing.
Following the incident, Aether Industries’ shares nosedived over 10% in two straight sessions. The stock was already under selling pressure in recent months, primarily led by an ongoing demand slump for the entire specialty chemicals sector.
On Friday, shares of Aether Industries marginally recovered from a two-day slump to trade in the green. The stock was trading 1.72% higher at ₹794 per piece on BSE at 12:55 PM.
Aether Industries clarified that it is actively engaged in working with the GPCB (Board) for understanding the reasons behind the Board’s direction, and believes that the closure direction is subject to reconsideration.
“We firmly believe that the closure direction is subject to reconsideration, and we have expressed our stance on the matter to the relevant authorities. Our commitment to environmental responsibility remains unwavering,” the company said.
Surat-based Aether Industries is a major producer of advanced intermediates and speciality chemicals involving complex and differentiated chemistry and technology core competencies.
The products are used in the pharmaceutical, agrochemical, material science, coating, high-performance photography, additive, and oil and gas segments of the chemical industry.
(Edited by : Ajay Vaishnav)
First Published: Dec 1, 2023 2:06 PM IST
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
PM Modi visits Ram Mandir for first time since 'Pran Pratishtha', offers prayers before roadshow
May 5, 2024 8:59 PM
Visiting temples, obliging selfie requests, jabbing rivals – Kangana Ranaut is wooing voters on campaign trail
May 5, 2024 8:23 PM