MRF Share Price Extend Gains, Rise ₹1,380 To ₹1,41,595 As Tamil Nadu Expansion Plan Remains In Focus

MRF Ltd share price moved higher in early trade on March 6, 2026, climbing ₹1,380 to ₹1,41,595, as the market continued to react to the company’s recently disclosed non-binding Memorandum of Understanding with the Government of Tamil Nadu for a proposed greenfield tyre manufacturing facility in Sivaganga district.

The disclosure was made through a stock exchange filing dated March 4, 2026 (Ref: 071/SH/SE/MARCH/KGG/1) submitted to the National Stock Exchange of India Ltd and BSE Ltd. The agreement has been executed with the Tamil Nadu government through its investment promotion agency Guidance Tamil Nadu, according to the regulatory communication.

Greenfield Manufacturing Project Proposed In Sivaganga

MRF Ltd stated that it has entered into a facilitation Memorandum of Understanding with the Government of Tamil Nadu to support the development of a greenfield manufacturing facility for automotive tyres and allied products at the SIPCOT Industrial Park in Sivaganga district.

The arrangement remains non-binding in nature, meaning the document reflects an investment intent rather than a legally enforceable capital commitment.

According to the filing, the project envisages an estimated investment of approximately ₹5,300 crore spread across a 12-year implementation period.

If executed, the facility may generate direct employment for around 1,000 persons, the company noted.

However, the project remains subject to several administrative conditions, including:

• approval of a customised state incentive package
• land allocation and infrastructure support
• statutory and regulatory clearances under applicable laws

Such facilitation MoUs are commonly used by Indian state governments to structure large industrial investments before definitive project agreements are executed.

The disclosure was digitally signed by S Dhanvanth Kumar, Company Secretary of MRF Ltd, on March 4, 2026 at 11:02:46 IST.

MRF Share Price Snapshot

MRF shares continued to trade in positive territory in the following session.

As of 9:23 AM IST on March 6, 2026, the stock was trading at ₹1,41,595, representing a gain of ₹1,380 or 0.98% for the day compared with the previous close of ₹1,40,215, according to market data.

Early session metrics showed:

• Opening price: ₹1,40,010
• High: ₹1,41,680 so far
• Low: ₹1,38,675 so far

The stock currently trades below its 52-week high of ₹1,63,600, while remaining above the 52-week low of ₹1,04,800.

MRF’s market capitalisation stood near ₹60,050 crore, with the price-to-earnings ratio around 26.93, based on available exchange data.

Company Background

MRF Ltd, headquartered in Chennai, is one of India’s largest tyre manufacturers, producing a wide range of passenger vehicle tyres, truck and bus radials, two-wheeler tyres, off-the-road tyres and speciality rubber products.

The company supplies both original equipment manufacturers (OEMs) and the replacement market, while operating multiple manufacturing plants across India.

Industrial clusters developed by SIPCOT (State Industries Promotion Corporation of Tamil Nadu) have become prominent manufacturing hubs for automotive and component manufacturers due to integrated logistics access and established infrastructure.

Conclusion

MRF’s proposed ₹5,300 crore greenfield manufacturing project in Sivaganga district signals a potential long-term capacity expansion, although the plan remains contingent on regulatory approvals, land allocation and state incentive structures.

Investors appear to be responding positively to the development. The stock rose ₹1,380 to ₹1,41,595 in early trade on March 6, 2026 so far, extending gains from the previous session following the regulatory disclosure.

Source:

• https://nsearchives.nseindia.com/corporate/MRF_04032026110945_SEINTMATION.pdf
• https://www.nseindia.com/get-quote/equity/MRF/MRF-Limited