Michelin India has entered into an agreement with TVS Srichakra for setting up a new manufacturing facility within its existing plant at Madurai. The products designed by Michelin for the Indian market, will be manufactured by TVS Srichakra, at this new facility, under the Michelin Brand name.

This TVS Madurai unit with an annual capacity of 3.6 million tyres will produce bias product ranges for both Michelin as well as some tyres from TVS's product range of two wheeler tyres and will incorporate best practices from both the companies to deliver world class products to India consumers.

Shares of the company gained Rs 5.25, or 0.32%, to trade at Rs 1,649.25. The total volume of shares traded was 4,503 at the BSE (3.45 p.m., Tuesday).