Integra Essentia hits upper circuit after JV announcement

New Delhi: Shares of Integra Essentia hit the upper circuit on Monday after the company acquired a substantial interest in an already operational profitable rice processing facility through a joint venture (JV) agreement.

The company has announced an acquisition of a substantial interest in a rice processing facility located in Bareilly, Uttar Pradesh through a joint-venture agreement. The company holds a 66 per cent stake in the JV agreement.

Following the development, shares of Integra Essentia rallied 5 per cent, its daily circuit limit to Rs 6.94 on Monday, before trading in the red as of 10.10 am. The scrip had settled at Rs 6.61 on Friday.

The facility, which is already operational and is spread over 4,500 square meters of area, has all requisite licenses and certifications to produce Premium Export Rice for domestic as well as international markets.

This aforesaid facility has an annual installed capacity of 21,000 metric tonnes of export quality rice and its processing unit is sourced from Japan and the United States.

Integra Essentia has been sourcing processed rice for its business of supplying essential goods, with the addition of this processing facility, and will be in a stronger position to tap into the exponential potential in the export market.

With 21.5 million tonnes of rice exports, India is the largest exporter of rice in the world and the second largest rice producer globally with a production of 120 million tonnes. Uttar Pradesh is the second largest rice-producing state in India.

New Delhi-based Integra Essentia is engaged in the business of life essentials to sustain modern life including agro products, textiles and garments, infrastructure and energy.

The company is also exploring expanding its business through acquisitions of operational facilities and is in the advanced stages of studying, comparing and finalising the acquisition of processing facilities under its long-term plan.