Textile Penny Stock Below Rs 5; Board Announces 4:5 Right Issue of Shares
Kiran DSIJCategories: Penny Stocks, Trending
The stock is up by 20 per cent from its 52-week low of Rs 3.51 per share.
Bhandari Hosiery Exports Ltd has officially announced a Rights Issue of 19,20,39,722 equity shares, aiming to raise approximately Rs. 49.30 crore. The board, following in-principle approvals from both the NSE and BSE, set the issue price at Rs 2.56 per share, which includes a premium of Rs. 1.56. Shareholders holding stock as of the record date, Wednesday, February 25, 2026, are eligible to participate in a ratio of 4 new equity shares for every 5 shares currently held. The full payment for these shares is required at the time of application, and the company’s total outstanding equity is projected to rise to 43,20,89,374 shares upon full subscription.
The rights issue process is scheduled to open on Friday, March 6, 2026, and will conclude on Friday, March 20, 2026. For those looking to trade their entitlements, the deadline for on-market renunciation is March 16, while off-market renunciation must be completed by March 19 to ensure credits reach the renouncee’s demat account before the final closing. Relevant documents, including the Letter of Offer and Rights Entitlement Letters, will be dispatched to eligible shareholders by the Registrar and Share Transfer Agent. This capital raise represents a significant expansion of the company's equity base as it seeks to strengthen its financial position through existing stakeholder support.
About the Company
Bhandari Hosiery Exports Ltd is a part of the Bhandari group. It is a fully integrated textile company which specialises in circular knitted manufacturing. The company is engaged in the design, development, knitting, dyeing, finishing, and garments and provides fashion supplies for retailers and brands worldwide. The company has a market cap of over Rs 100 crore
On Thursday, shares of Bhandari Hosiery Exports Ltd gained 3.70 per cent to Rs 4.20 per share from its previous closing of Rs 4.05 per share. The shares of the company have a PE of 12x whereas the industry PE is 22x. The stock is trading at Rs 0.63 times its book value. The stock is up by 20 per cent from its 52-week low of Rs 3.51 per share.
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Add NowDisclaimer: The article is for informational purposes only and not investment advice.