HPL Electric and Power Limited (HPL) has commenced production at its newly set-up manufacturing unit at Guwahati, Assam on March 30th. The new factory unit, the company said, has been installed to manufacture a range of switchgears, circuit breakers, fans, wiring accessories and energy meters, targeted at the north-eastern market.
Shares of HPL have been trending higher on the news of the production capacity rampup. The company had a lukewarm listing last year, debuting at a 6% discount on stock markets on October 4, 2016. HPL's Rs.361 crore initial public offer (IPO) had been subscribed more than eight times. It listed at Rs. 190.05, lower than its issue price of Rs. 202. Since then it traded below the Rs. 110 per share range.
The firm's Q3 result disappointed investors, with revenues down 21% YoY in Q3 due to the demonetization effect. The share price has moved up over the last few days, and closed at Rs. 125.3, up 5.38% today.