The Andhra Pradesh High Court on Tuesday, December 6, extended the stay on the closure notices for three plants of Amara Raja Batteries by eight weeks. The next hearing is scheduled for January 18, 2023.
The company mentioned that there was no loss because of the suspension of the closure orders.
The Andhra Pradesh Pollution Control Board in 2021 had ordered the closure of Amara Raja’s manufacturing facilities at Karakambadi, Tirupati, and Nunegundlapalli in the state for alleged violation of environmental norms.
The leading industrial and automotive batteries maker asserted that it has always placed the highest priority on the environment.
Last week, Amara Raja Batteries signed a memorandum of understanding (MoU) with the Telangana government to set up manufacturing facilities for lithium-ion batteries in the Mahbubnagar district of the state. The company aims to invest Rs 9,500 crore in the facility in the next 10 years.
The Company supplies automotive batteries to Ashok Leyland, Ford India, Honda, Hyundai, Mahindra & Mahindra, Maruti Suzuki, and Tata Motors. The Company’s Industrial and Automotive Batteries are exported to countries in the Indian Ocean Rim.
The company posted net sales of Rs 2,700 crore in the September quarter as against Rs 2,264 crore in the year-ago period. Its net profit was Rs 201 crore compared to Rs 144.3 crore in the same quarter a year ago.
Shares of Amara Raja Batteries are trading down 1.47 percent at Rs 650.35.
