Divis Laboratories to set up Rs. 500-cr plant in Kakinada.

Divis Laboratories Ltd. is considering setting up a new manufacturing facility near Kakinada in Andhra Pradesh, with an investment of Rs. 500 crore.

The Hyderabad-based company, which now has plants in Hyderabad and Visakhapatnam, had applied to the State Government for allocation of land for its third plant and is awaiting a response.

It was proposed to make an initial investment of Rs. 500 crore in this facility, Divis informed the Bombay Stock Exchange on Saturday.

The company posted a net profit of Rs. 221 crore on a stand-alone basis for the third quarter ended December 31, 2014, compared with Rs. 219 crore in the year-ago period. The total income grew to Rs. 791 crore (Rs. 689 cr). The forex gain for the quarter under review amounted to Rs. 11 crore while there was a forex loss of Rs. 5 crore in the year-ago period. The company has capitalised fixed assets aggregating to Rs. 143 crore in the current quarter.


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