Akshar Spintex Rights Issue will open for subscription from 09 September 2024. the company aims for an issue size of ₹48.75 Crores through this rights Issue.
About the company
Incorporated in 2013, Akshar Spintex is involved in the production and trading of spun cotton yarn. The company manufactures 100% cotton yarn which includes combed, semi-combed, and carded yarn. The company is engaged in the manufacturing of yarn viz. Combed Yarn, Semi Combed Yarn, and Carded Yarn.
Its registered office is situated at Survey No. 102 Kalavad Ranuja Road, Kalavad District Rajkot, Gujarat. The manufacturing facility of the company is situated at Kalavad of Rajkot District in Gujarat state in 1,83,437 sq. ft. area which is in the vicinity of the rich cotton growing areas of Gujarat. The company has installed a capacity of a total of 24,480 spindles. ASL sells cotton yarn to its customers located in Gujarat and outside Gujarat. Top 5 customers form 64% of its sales in FY 2023.
Objectives of the Issue
- To repay in full certain identified long-term unsecured loans obtained by the Company;
- To augment the existing and incremental working capital requirement of the Company; and
- General Corporate Purposes.
Akshar Spintex Rights Issue Timetable
| Rights Issue Approval Date | 17 August 2024 |
| Rights Issue Record Date | 23 August 2024 |
| Credit of Rights Entitlement | 4 September 2024 |
| Rights Issue Opening Date | 9 September 2024 |
| Last Date for Market Renunciation | 24 September 2024 |
| Rights Issue Closing Date | 30 September 2024 |
| Finalization of Basis of Allotment | 8 October 2024 |
| Rights Allotment Date | 9 October 2024 |
| Credit Date | 14 October 2024 |
| Listing Date | 15 October 2024 |
Akshar Spintex Rights Issue Details
| Issue Open | September 9, 2024 – September 30, 2024 |
| Security Name | Akshar Spintex Ltd |
| Issue Size (Shares) | 487,480,500 |
| Issue Size (Amount) | ₹48.75 Crores |
| Issue Price | ₹1 per share |
| Face Value | ₹1 per share |
| Listing At | BSE, NSE |
| Terms of Payment | The entire amount of the Issue Price of Re. 1 per Rights Equity Share shall be payable at the time of Application. |
| Entitlement | 13 Rights Equity Share(s) for every 8 fully paid-up Equity Shares held on Record Date |
Akshar Spintex Rights Issue Calculation
| Akshar Spintex Rights Issue Price | ₹ 1 per share |
| Market Price on Rights Issue Approval | ₹ 1.99 per share |
| Dilution Factor (X) | 2.625 |
| Fair Value After Dilution at Prevailing Price | ₹ 1.38 per share |
Company Financials
| FY 2022 | FY 2023 | FY 2024 | |
| Revenue | 172.11 | 135.53 | 174.96 |
| Expenses | 161.74 | 137.84 | 168.56 |
| Operating Margin (%) | 9.52 | 1.33 | 6.11 |
| Net Income | 6.98 | (2.76) | 3.46 |
| ROCE (%) | 19 | (4) | 10 |
Akshar Spintex Rights Issue Documents
Lead Manager(s)
Akshar Spintex Registrar
BIGSHARE SERVICES PRIVATE LIMITED
S6-2, 6th Floor, Pinnacle Business Park,
Next to Ahura Centre, Mahakali
Caves Road, Andheri East, Mumbai – 400 093
Phone: +91 22 6263 8200
Email: rightsissue@bigshareonline.com
Website: www.bigshareonline.com
Company Contact Information
Akshar Spintex LIMITED
Revenue Survey No. 102/2, Paiki, Plot No. 2
Village – Haripar, Ranuja Road, Tal – Kalavad
Jamnagar – 361 013
Phone: 98252 13622
Email: admin@aksharspintex.in
Website: www.aksharspintex.in
Final Thoughts
Applying for the rights issue is purely a personal choice. Make sure you conduct a detailed study of the company and its rights issues before you make an investment decision.
Happy investing
