Home >Companies >News >Apollo Tyres soars ahead of board meet to mull fundraising

MUMBAI: Shares of Apollo Tyres Ltd on Thursday jumped nearly 9% ahead of the board meeting on 17 April to consider fundraising through issuance of non-convertible debentures (NCDs) on a private placement basis.

Shares of Apollo Tyres soared as much as 8.98% to 95.90 on the BSE, while the benchmark Sensex lost 0.26%.

The company proposes issuing NCDs within the limits approved by the board in the annual general meeting held on 31 July 2019.

Apollo Tyres also said its four plants in Kerala, Gujarat and Tamil Nadu will remain shut till 20 April as the nationwide lockdown to contain the spread of coronavirus has been extended.

In March, Apollo Tyres' top management had taken a voluntary 15%-25% pay cut as the company's business took a significant hit due to the coronavirus outbreak in important markets like Europe, North America and India.

Chairman Omkar Kanwar and managing director Neeraj Kanwar have taken a pay cut of 25% each, while the senior management of the company is likely to see a 15% reduction in their salaries.

Apollo Tyres' consolidated net profit dropped 29.12% year-on-year to 173.86 crore on a 6.62% decline in net sales to 4,347.16 crore in the third quarter ended December 2019.

Apollo Tyres is an international tyre major, with manufacturing units in India, the Netherlands and Hungary.

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