Jindal Poly Films rises on incorporating real estate firm

Jindal Poly Films gained 2.64% to Rs 1,055.15 after the company made investment in equity shares of Universus Commercial Properties on its incorporation.

Universus Commercial Properties (UCPL) has been incorporated as a wholly owned subsidiary of Jindal Poly Films. On 6 August 2022, the company invested Rs 5,00,000 by subscribing to 50,000 equity shares of Rs 10 each at par in the share capital of UCPL. UCPL has yet to start the commercial operations.

The object of the proposed investment is to gain from the profitable real estate opportunities by UCPL.

The company said that the transaction falls within the ambit of related party transaction as UCPL becomes a wholly owned subsidiary of the company and the transaction is done at arm length basis.

UCPL proposes to enter into real estate business and is incorporated on 20 July 2022. It has no international presence.

Jindal Poly Films is engaged in diverse business activities including manufacturing of polyester film, polypropylene film, steel pipes and photographic products.

The company reported 35.9% rise in consolidated net profit of Rs 315.12 crore on a 18.7% increase in net sales to Rs 1,592.21 crore in Q1 FY23 over Q1 FY22.

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