Kajaria Ceramics shares rise over 3% after subsidiary forms joint venture in UAE

Shares of Kajaria Ceramics rose over 3% today after the firm's subsidiary executed a joint venture agreement with AL Rathath Marble Factory LLC, UAE.

Kajaria Ceramics stock gained 3.24% intraday to Rs 1,155 against the previous close of Rs 1118.70 on BSE. At 3:16 pm, the stock was trading 0.88% higher at Rs 1128.50.

Kajaria Ceramics shares are trading higher than the 50-day and 200-day moving averages but lower than 5-day, 20-day and 100-day moving averages.

However, the stock has lost 8.83% in a year and lost 13.5% in 2022. In a month, the stock has gained 8.03%.

The agreement will ensure successful conduct of the business of Glazed Vitrified Tiles, Sanitaryware/Bathware products, marbles, granites, natural stones and allied products in UAE through a company namely Kajaria RMF Trading LLC, UAE, by way of acquiring its shares in the equal ratio, i.e. 50:50, on joint venture basis.

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"Kajaria Ceramics’ wholly owned subsidiary — Kajaria International DMCC, UAE has executed a Joint Venture Agreement with AL Rathath Marble Factory LLC, U.A.E. The purpose of this Agreement is to run the business of Glazed Vitrified Tiles, Sanitaryware/Bathware products, marbles, granites, natural stones and allied products in UAE through a company namely Kajaria RMF Trading LLC, UAE, by way of acquiring its shares in the equal ratio, i.e. 50:50, on joint venture basis. Initially, 1000 shares of AED 1000 each will be issued at par value in equal ratio to the parties of said the Joint Venture Agreement," said Kajaria Ceramics in a communication to the bourses.

Kajaria Ceramics is engaged in manufacturing of ceramic/vitrified tiles in India. Its segments include tiles and others. The tiles segment includes manufacturing and trading of ceramic and vitrified wall and floor tiles. The others segment includes manufacturing of sanitaryware and faucet and trading of plywood and block board.