Sona BLW Precision Forgings’ shares rose over 6% on February 23 after the automotive systems manufacturer received certification under the Auto Production Linked Incentive (PLI) scheme for one of its products. 

Sona BLW’s shares hit an intraday high of Rs 652.00, 6.37% higher than its previous closing price on the National Stock Exchange (NSE). The stock closed 5.88% higher at Rs 649.00. 

The company, also known as Sona Comstar, announced in an exchange filing that it received certification for its hub wheel drive motor for electric two-wheelers under the Auto Production Linked Incentive (PLI) scheme from the Ministry of Heavy Industries, becoming the first automotive component manufacturer do so. 

Launched by the government of India in 2021 to incentivise the domestic production of high-value advanced automotive technology vehicles and products, the Auto PLI scheme has allocated a budgetary outlay of Rs 25,900 crore over five years, commencing from the fiscal year 2023-24.

Gurugram-based Sona Comstar primarily designs, manufactures and supplies automotive systems and components to automotive OEMs. Sona Comstar had filed seven applications for different products under the Auto PLI scheme.