Time Technoplast shares rose nearly 4% intraday on March 1 after the company said it received an additional order of Rs 25 crore from Maharashtra Natural Gas Limited (MNGL).

The total order for MNGL is currently at Rs 159 crore and must be fulfilled within a year, the company said in a release.

On February 15, Time Technoplast secured an order of Rs 134 crore from MNGL. The order includes the supply of CNG cascades made of Type IV composite cylinders.

Company management is phasing out capital expenditures to meet the growing demand for Type IV composite cylinders for CNG cascades.

In the first phase (the fiscal year 2022-23), the company will increase its manufacturing capacity by 300 cascades (18,000 cylinders). The capital expenditure is Rs 55 crore, and with this expansion, the company said the total cascade manufacturing capacity would increase from 180 to 480 cascades (28,800 cylinders) by March 2023.

In the second phase, management has implemented expansion plans to increase capacity by 600 cascades (36,000 cylinders). It will be completed in Q4FY24 with an outflow of Rs 125 crore.

The company said the total cascade manufacturing capacity after the second phase will be 1,080 cascades (64,800 cylinders) per year from March 2024.

The stock was trading at Rs 83.75 at 12:35 pm on the National Stock Exchange, up 3.4% from its previous close.