Bannari Amman Spinning Mills announced that the company's wholly owned subsidiary company 'Abirami Amman Mills' has entered into memorandum of understanding (MoU) with Tamilnadu Government.

The MoU is signed for setting up of a textile project near Dindigul, Tamilnadu.

The stock had underperformed the market over the past one month till Mar. 10, 2014, falling 2.87% compared with the Sensex's 7.87% rise. It underperformed the market in past one quarter, declining 2.78% as against 3.20% rise in the Sensex.

Shares of the company gained Rs 4, or 3.81%, to trade at Rs 109. The total volume of shares traded was 1 at the BSE (10.42 a.m., Tuesday).