Jerash Holdings Acquires Physical Premises Of MK Garments Factory For $2.7M - Jerash Holdings (US) (NASDAQ:JRSH)

Jerash Holdings (US) Inc's JRSH subsidiary, Jerash Garments and Fashions Manufacturing Co Ltd, has acquired the physical premises of the previously announced MK Garments manufacturing factory in Amman, Jordan, for $2.7 million in cash.
The premises consist of a 71,000 square-foot building and land that houses the apparel manufacturing operations.
Jerash expects this transaction to be completed by November 2021.
"This transaction enables us to save on operational expenses and gives us flexibility for future expansion as our business continues to grow. We already are receiving orders for this new facility, which is expected to allow Jerash to increase production capacity by approximately 20 percent," said CEO Sam Choi.
The company ended fiscal 2021 with $21.1 million in cash.
Price action: JRSH shares are trading higher by 1.44% at $7.03 on the last check Tuesday.