Gujarat-based textile stock under Rs 40: Elysian Wealth Fund's stake in this company rose to 6.89% via preferential allotment of 80.67 lakh shares

Elysian Wealth Fund, formerly known as Silver Stallion Limited, has increased its stake in Vishal Fabrics Limited to 6.89 per cent of the total paid-up equity share capital. This change resulted from the preferential allotment of 80,67,176 equity shares, each with a face value of Rs 5, following the conversion of fully convertible warrants. This acquisition was made under Chapter V of SEBI ICDR Regulations and was disclosed by Elysian Wealth Fund, which is not part of the promoter group, to both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), where Vishal Fabrics Limited is listed.

About the Company

Vishal Fabrics Ltd, an Ahmedabad-based company and part of the Chiripal Group, stands as one of India's leading denim fabric manufacturers, boasting a production capacity exceeding 100 million meters annually. Renowned for its integrated value chain, advanced infrastructure, and unwavering commitment to quality and sustainability, Vishal Fabrics excels in producing wider-width fabrics and has significantly expanded its denim production. The company's dedication to innovation is evident in its adoption of green practices throughout its operations, including using sustainable raw materials, recycling water, and maintaining zero-discharge facilities.

For the first quarter of fiscal year 2026 (Q1FY26), the company's Total Income increased by 17 per cent, reaching Rs 397.18 crore. This is a rise from Rs 340.10 crore reported in the corresponding quarter of the previous financial year. The company's Consolidated Net Profit for the quarter stood at Rs 9.16 crore, marking a substantial growth of 92 per cent compared to Rs 4.78 crore in Q1FY25. For the full year FY25, total income increased by 5 per cent to Rs 1,521.43 crore, up from Rs 1,451.29 crore in FY24. Net profit for the year also saw healthy growth, rising to Rs 23.84 crore in FY25, a 13 per cent increase compared to Rs 21.13 crore posted in the previous year.

The company has a market cap of over Rs 770 crore. The stock is up over 70 per cent from its 52-week low of Rs 21.05 per share. The company's promoters have a commanding 60.56 per cent ownership stake, while FIIs hold 17.05 per cent, DIIs hold 0.04 per cent and public shareholders own 22.35 per cent.

Disclaimer: The article is for informational purposes only and not investment advice.