Textile Stock Rally: Shares Jump Nearly 10% After Bonus Share Update

Aastha Spintex Ltd. has fixed September 28, 2026, as the record date for determining shareholders eligible to receive Bonus equity shares, taking the corporate action a step closer to implementation after members' and stock exchange approvals.

The decision was taken at the company’s board meeting on September 22, which commenced at 9:30 am and concluded at 10:00 am. The cotton textile manufacturer said the record date was fixed in accordance with applicable provisions of the Companies Act, SEBI regulations and other applicable laws.

A record date is the cut-off date used to identify shareholders entitled to receive shares under a bonus issue. Investors seeking eligibility generally need to ensure that their shareholding is reflected in the company’s records by the applicable settlement deadline before the record date. The latest filing only communicates the record date and does not state the bonus share entitlement ratio.

The announcement comes within months of Aastha Spintex’s market debut. The company completed an initial public offering of 1.25 crore equity shares at Rs 136 per share, raising Rs 170 crore, and was listed on July 6, 2026.

For investors, the bonus issue is a share capital action rather than an addition to the company’s underlying assets or profitability. While it increases the number of shares held by eligible investors in line with the approved ratio, the market price is ordinarily adjusted to reflect the expanded equity base. The eventual effect on per-share metrics will depend on the terms of the bonus issue and the post-issue share count.

Aastha Spintex operates in the cotton textile segment, manufacturing and trading cotton products, with cotton yarn and cotton bales forming its principal revenue-dependent products. Its manufacturing operations are located at Halvad in Gujarat, and the company had spindle capacity of 25,920 as of March 31, 2026.

In FY2025-26, the company reported revenue from operations of Rs 442.64 crore, up 26.05 per cent from Rs 351.16 crore a year earlier. However, higher material and operating costs moderated profitability, with EBITDA margin declining to 12.18 per cent from 14.48 per cent and net profit margin falling to 5.36 per cent from 6.69 per cent. Net profit rose marginally to Rs 23.74 crore from Rs 23.50 crore.

The margin trend is relevant because cotton prices remain a key variable for the company. Management has identified cotton availability, monsoon conditions, commodity cycles, Logistics costs and competitive pricing in the fragmented textile industry as material business risks. Revenue is also concentrated around cotton yarn and cotton bales, with limited presence in higher value-added fabrics or garments.

As of 11:55 am on September 22, 2026, Aastha Spintex shares were trading at Rs 81.63, up 9.82 per cent from the previous close of Rs 74.33. The stock was about 39.7 per cent below its 52-week high of Rs 135.45, while remaining around 11.8 per cent above its 52-week low of Rs 73.01.

The next material disclosure for shareholders will be the detailed terms governing the bonus issue, including the entitlement ratio and the timeline for credit of the additional equity shares.

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