The Incitec Pivot Ltd (ASX: IPL) share price is soaring during morning trade following a manufacturing and business update.
At the time of writing, the industrial chemicals company's shares are up by 8.02% to $2.62.
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What did Incitec Pivot announce?
Investors are buying up Incitec Pivot's shares after the company revealed it is implementing changes to its manufacturing model.
According to its release, Incitec Pivot is switching its manufacturing model from a global to a regional structure. This will allow the company to improve its manufacturing excellence strategy and support operations, while international travel is restricted.
As a result, Incitec Pivot president of global manufacturing and health, safety and environment Tim Wall will be leaving the company.
A global search is underway to find a new manufacturing lead. In the interim, regional manufacturing vice presidents will report to the heads of the Americas and Asia Pacific regions.
Incitec Pivot CEO and managing director Jeanne Johns commented:
I would like to thank Tim for his considerable contributions to IPL. Tim's tireless efforts are deeply appreciated as well as his support with our transition to a regional manufacturing model.
Incitec Pivot noted additional resources have been allocated to the Americas manufacturing team to assist with the transition to a regional model.
On a different note, the company revealed its Waggaman ammonia plant in Louisiana reached full production last month. Its capacity is 800,000 metric tonnes of ammonia.
Furthermore, its Moranbah ammonium nitrate plant in Queensland is running smoothly, and FY21 planned turnarounds are complete.
Incitec Pivot said it will release a trading update on 29 July 2021.
About the Incitec Pivot share price
In 2021, Incitec Pivot shares have lifted by 14%, and are up by almost 40% over the past 12 months. In addition, the company's share price has a 52-week range of $1.81 to $2.98.
Incitec Pivot has a market capitalisation of around $4.7 billion, with close to 2 billion shares outstanding.
