Shares of BASF India rose in Wednesday's trade after the company announced it plans to double its capacity for polymer dispersions with a new production line at its site in Dahej, Gujarat.
Following the announcement, BASF share price rose 3.11% to day's high Rs 1019.3 against the previous close of Rs 988.55 on BSE.
The stock price of BASF India trades higher than 5, 20 and 50-day moving averages but lower than 100 and 200-day moving averages. In terms of volume, 0.01 lakh shares and 0.29 lakh shares changed hands on BSE and NSE, respectively.
As per market depth data on BSE, there were 56% buyers bidding against 44% sellers offering the stock.
"Through this investment, the Company aims to provide a reliable supply of high-quality dispersion solutions to customers in the fast-growing Indian and South Asian markets," the company said in a regulatory filing.
BASF India said it had started the production of polymer dispersions in Dahej in October 2014, and currently operates one production line at the plant.
The proposed investment will expand production capacity of dispersions for the construction, coatings, paper and adhesive markets and the enhanced production line will serve growing demand in South Asia, with operations beginning by 2021, it added.