Kitex Garments share price: Why Kitex Garments surged 13% in two days

New Delhi: Shares of have been on a roll recently. The counter has surged over 13 per cent in just two sessions on the back of a couple of reasons.

The Telangana State government has extended an invitation to Kitex Garments for setting up an apparels unit in the state. Telangana Government has cited its lucrative Textiles and Apparels Policy.

A communication from the Kitex group claimed here that Telangana Industries Minister KT Rama Rao sent out an invitation to the Kitex company Tuesday evening promising attractive incentives.

Also, the labour department of the government of Kerala has withdrawn the show cause notices issued to the company on the minimum wage issue.

Shares of Kitex Government surged 13 per cent in the last couple of days. The counter was trading at 6 per cent higher at Rs 123.40 on Friday. BSE Sensex was trading 113.25 points or 0.22 per cent lower at 52,455.69 at the same time.

On June 30, the world’s second largest manufacturer of kids apparel announced to withdraw Rs 3,500 from Kerala alleging an incessant witch hunt and harassment by state government officials.

The apparels and accessories manufacturer reported a 49.3 per cent decline in the net profit Rs 9.73 crore in the March 2021 quarters, as against a net profit of Rs 19.22 crore in the same quarter previous year.