Shares of state-run Andrew Yule & Company surged nearly 20% intraday on Monday after the Centre asked all ministries and departments to promote and serve its 'Yule Tea' brand at official meetings, conferences, canteens and government functions.
Andrew Yule Shares Surge 20% After Centre Pushes 'Yule Tea' At Govt Meetings
The Ministry of Heavy Industries has urged central ministries and departments to serve Yule Tea at official meetings, conferences, canteens and government functions to support the state-run company's operational and financial stability
Andrew Yule Shares Surge 20% After Centre Pushes 'Yule Tea' At Govt Meetings
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The stock jumped as much as 19.65% to an intraday high of ₹30.50 on the BSE. It later pared some gains amid profit booking and was trading 10.28% higher at ₹28.11 at around 1 p.m.
The stock has remained in positive territory over the past two trading sessions.
Centre Pushes Yule Tea Across Ministries
The rally followed a communication from the Ministry of Heavy Industries, urging all central ministries and departments to promote the use of Yule Tea at official meetings, conferences, canteens and government functions.
Andrew Yule & Company (AYCL), a Central Public Sector Enterprise under the administrative control of the Ministry of Heavy Industries, owns and operates tea estates across Assam and West Bengal and is among India's oldest tea producers.
The company manufactures Darjeeling, Dooars and Assam teas across orthodox, CTC, green tea and flavoured variants under the Yule Tea brand.
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AYCL also supplies tea to Parliament through the Tea Board, while its products are available through online channels.
Push Comes Amid Financial Stress
The ministry said Yule Tea products have been well received by customers but noted that Andrew Yule & Company has been facing financial stress due to various factors.
The Department-related Parliamentary Standing Committee on Industry had also recommended coordinating with various ministries and departments to increase the promotion and adoption of Yule Tea.
Against this backdrop, the ministry sought greater institutional support for the company's products across government establishments.
It said wider adoption and use of Yule Tea would provide significant encouragement to Andrew Yule's ongoing efforts towards improving its operational and financial stability.