Century Textiles Share Price Up 6% After Securing Pune Land Deal

Century Textiles and Industries share price broke a three-day losing streak and surged nearly 6% following the company's acquisition of land in Manjri, Pune, which has an estimated revenue potential of ₹2,500 crore. 

By 02:16 PM, Century Textiles share price were trading 4.5% higher at ₹2,317. Over the past six months, the stock has soared by an impressive 90%, significantly outperforming the Nifty 50, which gained 10% during the same period. The stock has gained 190.85% in the past year. 

This surge followed the announcement that the company’s subsidiary, Birla Estates, the real estate arm of the Aditya Birla Group, is set to expand its presence in Pune through a land acquisition in Manjri. The land parcel spans 16.5 acres with a development potential of approximately 3.2 million square feet and an estimated revenue potential of ₹2,500 crore, the company stated in an exchange filing on Monday. 

The proposed development will be part of an integrated township, offering a variety of residential unit configurations. Strategically located on the Pune-Solapur Highway, the project provides seamless connectivity to several IT hubs, including Kharadi, Magarpatta, and Phursungi, as well as the Hadapsar MIDC.

Commenting on this development, K. T. Jithendran, MD & CEO of Birla Estates, said, “Pune is a strategic market for us, and this acquisition is a step towards our ambitious growth plans. The Pune-Solapur corridor is transforming at a rapid pace, and we intend to enhance living standards in Manjri by delivering meticulously designed homes that seamlessly integrate contemporary architecture with thoughtfully chosen amenities.”

The project also offers connectivity to educational institutions, healthcare facilities and shopping centres. "The area is poised for substantial growth due to its excellent connectivity to the Pune Ring Road," the company added. Its connectivity to the Pune Ring Road positions Manjri as a promising location for future development, Century Textiles stated in a filing.

The Aditya Birla Group reported a 4.40% decline in consolidated net profit, with ₹160.28 crore in Q4FY24 compared to ₹167.66 crore in Q4FY23. The company's Q4FY24 revenue from its Pulp & Paper business fell by 5.58% to ₹859.07 crore, down from ₹909.85 crore in Q4FY23. However, the group's real estate business saw a significant increase in revenue, reaching ₹92.16 crore in Q4FY24, up sharply from ₹36.12 crore in Q4FY23.