5:1 stock split & FIIs bought 3,19,378 shares: Penny stock under Rs 5 hit back-to-back upper circuit as the company bags export orders worth Rs 661 crore!
The stock gave multibagger returns of 130 per cent in 3 years and a whopping 210 per cent in 5 years.
On Tuesday, the shares of Filatex Fashions Ltd hit a 5 per cent upper circuit to Rs 1.33 per share from its previous closing of Rs 1.27. The stock’s 52-week high is Rs 4.30 and its 52-week low is Rs 1.14. In the recent trading sessions, the stock has been hitting back-to-back upper circuits.
Filatex Fashions Ltd., a leading socks and cotton products manufacturing company based in Hyderabad, has secured significant export orders for its mining subsidiary, Filatex Mines and Minerals Pvt Ltd. In just one month, the subsidiary has garnered a total of Rs 661 crore (USD 78,875,000) in export orders.
On August 29, 2024, Filatex Mines and Minerals announced a major export order from Société DIMO - BTP SARL (SDBS), a Republic of Guinea-based company. The order entails the supply of 1,59,000 tonnes of marble-polished tiles over a five-year period, valued at USD 43,875,000 (Rs 368 crore). SDBS, with its extensive dealer network of over 5,000 in 14 African countries, is poised to distribute these high-quality marble tiles.
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This is the second substantial export order for Filatex Mines and Minerals. In July 2024, the company received an order for 2,97,388 metric tonnes of white marble worth USD 35 million (Rs 293 crore) over a seven-year period. The combined value of these two orders significantly boosts Filatex Fashions Ltd.'s market capitalization, which currently stands at Rs. 966.75 crore.
In addition to these export orders, Filatex Fashions Ltd. has made several strategic moves to strengthen its position and expand its operations. The company recently appointed Mr Sunil Agarwal as an Additional Director and CEO, subject to shareholder approval. Mr. Agarwal brings over a decade of experience in financial services, advisory, and risk management, and his expertise will undoubtedly contribute to the company's growth.
Furthermore, Filatex Fashions Ltd. has approved a 5-for-1 stock split to enhance liquidity and widen its shareholder base. The company's authorised share capital now stands at Rs 850 crore, divided into 850 crore equity shares of Rs 1 each. The record date for the stock split was August 9, 2024.
Founded in 1995, Filatex Fashions Ltd. has established itself as a leading player in the socks manufacturing and cotton products industry. With state-of-the-art manufacturing facilities and a focus on quality, the company has garnered a strong presence in both the European and Indian markets. Its client list includes renowned brands like FILA, Sergio Tacchini, Adidas, Walt Disney and many others.
The company has a market cap of Rs 1,100 crore and has delivered good profit growth of 96.6 per cent CAGR over the last 5 years. FIIs bought 3,19,378 shares and increased their stake to 0.02 per cent in June 2024 compared to Nil shareholding in March 2024. The stock gave multibagger returns of 130 per cent in 3 years and a whopping 210 per cent in 5 years. Investors should keep this penny stock under watchlist.
Disclaimer: The article is for informational purposes only and not investment advice.
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