Two wheeler maker LML has declared a lockout from Tuesday due to an illegal strike by its workers at its Kanpur unit, the company said in a notice to the Bombay Stock Exchange.
The factory employs around 2,000 people and rolls close to 500 two-wheelers a day.
The strike comes at a time when the company had earlier informed the exchanges that its production, sales and normal operations may be affected as it tries to induct a strategic partner.
LML is currently in a restructuring mode. The company has been trying to overcome working capital problems for quite some time.
Earlier last week, a company official had admitted that production of its latest offering LML-CRD has not achieved full capacity due to liquidity issues.
While arrangements are underway to address this problem, the company is also looking for a foreign partner for possible technical and financial tie-up.
For the quarter ending December 31, 2005, LML had reported a net loss of Rs 22.53 crore (Rs 225 million) on a turnover of Rs 111.2 crore (Rs 1.11 billion.
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