Campus Activewear Expands Manufacturing, Invests ₹74.75 Cr in Uttarakhand

Hey there, footwear enthusiasts and investors! 👋 Campus Activewear Limited (CAMPUS) is stepping up its game with a significant move to expand its manufacturing footprint. The company recently announced the acquisition of land and building in Uttarakhand, a strategic investment set to boost its production capacity.

A Big Leap in Uttarakhand 🏞️

Campus Activewear has acquired a substantial piece of land and building from M/s Nainipanel Industries Private Limited. This prime location, spanning 47,000 square meters in the IIE SIIDCUL, Pantnagar Industrial Area of Uttarakhand, is now officially part of Campus Activewear’s growth strategy, with the transfer deed executed on September 2nd, 2025.

Why the Expansion? 🤔

This isn’t just any acquisition; it’s a calculated move to supercharge Campus Activewear’s manufacturing capabilities. The primary goal? To expand its existing capacity for producing semi-finished goods like soles and uppers, and for the assembly of footwear. This expansion is crucial for meeting growing business demand and strengthening backward integration, ensuring more control over its supply chain.

The Numbers Game 💰

The total cash consideration for this acquisition stands at a hefty ₹74.75 Crores (that’s seventy-four crores and seventy-five lacs!). But that’s not all. The company plans an additional investment of ₹230 Crores by the close of FY 2027-28 to bring the new capacity online. This entire expansion will be financed through internal accruals, showcasing the company’s strong financial health.

What Does This Mean for Production? 👟

Currently, Campus Activewear boasts an annual manufacturing capacity of 8.4 million pairs for uppers and 30.7 million pairs for assembly, with utilization rates of 80% and 75% respectively. The proposed addition is impressive: an extra 7.2 million pairs for uppers and another 7.2 million pairs for assembly annually! This significant boost is expected to be fully operational within 2.5 years from September 2025.

Market Reaction 📊

On the market front, Campus Activewear shares closed slightly down by 1.2% at ₹269.4 before the market closed. While the market’s immediate reaction might be modest, this strategic expansion signals a strong commitment to future growth and market leadership.

This move by Campus Activewear underscores its ambition to scale operations and solidify its position in the competitive footwear market. Keep an eye on how this expansion plays out in the coming years! ✨

source: Corporate Announcement

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