Shares of India Glycols Ltd hit a 52-week high of Rs 976 on 5 February after the company announced that the board of directors of the company had approved the capacity expansion plan.

In its regulatory filing, the company said that the board has considered and approved the proposal to expand its grain-based distillery plant at Gorakhpur, Uttar Pradesh and Biofuel ethanol plants at Gorakhpur and Kashipur.

The grain-based distillery plant currently has a capacity of 110 kiloliters per day, and the company has proposed an expansion capacity to 180 kiloliters per day for a total consideration of Rs 133 crores.

The biofuel ethanol plant in Gorakhpur currently has a capacity of 100 kiloliters per day, and the Kashipur plant has a capacity of 140 kiloliters per day. To meet the growing demand for ethanol, the board approved the capacity expansion of 90 kilolitres per day at the Gorakhpur plant and 450 kilolitres per day at the Kashipur plant for a total investment of Rs 4 crore and Rs 10 crore.

In recent months, the company has secured orders worth Rs 1,164 crore for the supply of 165.5 million litres of ethanol to Indian Oil, HPCL, BPCL, Reliance Ind, and Nayara Energy.

At 3:30 pm, the shares of India Glycols shed all their early gains and closed 3.82% lower at Rs 905 on NSE.