Filatex Fashions Ltd Board Approves 5-for-1 stock split

PNN
Hyderabad (Telangana) [India], July 8: Hyderabad-based leading socks and cotton products manufacturing company Filatex Fashions Ltd has approved 1:5 (5-for-1) stock split to enhance the liquidity in the capital market and widen the shareholder base.
Approved sub-division of existing 1 equity share of Rs 5 face value into 5 equity shares of Rs 1 each

The board of directors of the company in the meeting held of 7 June 2024 has approved sub-division of existing 1 Equity Share of face value of Rs 5 each fully paid up into 5 Equity Shares of Rs 1 each fully paid up. Post approval of the resolution for sub-division by the shareholders at Extra Ordinary General Meeting (EGM), the record date for the purpose of subdivision of equity shares will be announced. Post sub-division, share capital of the company will stand at Rs 833.40 crore divided into 8,33,40,72,725 equity shares of Rs 1 each. The Authorized Share Capital of the Company is Rs 850 crore.
EGM of the Company for the FY 2024-25 is scheduled to be held on Monday. 15 July, 2024 at 11:00 AM through Video Conferencing or Other Audio Visual Means (OAVM).
The company's shares are recently admitted to dealings on NSE with a code FILATFASH w.e.f 6 May 2024. Company's shares were listed on the Bombay Stock Exchange since 23 September 1996 and will continue to be listed on the exchange with the scrip code 532022. Company has also appointed Yash Sethia as Chief Financial Officer (CFO) of the Company from 30th March 2024.
Company board in the meeting held on 6 July has approved to set up a wholly owned subsidiary for export of textile garments and fabrics in Delhi reason being Delhi is a source for readymade goods which can be easily supplied to overseas market. Additionally, board also approved proposal to set up a Corporate Office in Mumbai for business expansion and planning to appoint senior managerial personnel like CEO, head of compliance etc. which will help the company in its smooth business expansion in global markets.
Incorporated in 1995, Filatex Fashions Ltd specializes in socks manufacturing and cotton products with 25 socks-knitting machines with the latest finishing and setting machines, using infrared technology for the first time in India. Filatex Fashions has gained rich experience in the European and Indian market. With manufacturing plants located in Hyderabad, Telangana, the company offers private label services and the option to use its branded label for socks. Company's clients include renowned brands like FILA, Sergio Tacchini, Adidas, Walt Disney and many other top labels of the fashion world.
Company has a State of art manufacturing unit located at Hyderabad having ultra modern, latest machinery from Korea and Italy with In-house R&D facilities, is on Growth path with various new orders from Leading Brands. Company has a modern state-of-the-art plant spread over 4 acres capable of producing 8.64 million pairs of socks per annum. The company further plans to ramp up production capacity upto 14 million pairs of socks per annum.
For FY23-24, company posted net profit of Rs 8.95 crore, total income of Rs 179.02 crore. During Q4FY24, net profit of the company was reported at Rs 2.56 crore and total income of Rs 69.59 crore.
In November 2022, company announced a capacity expansion of Rs 300 crore for its production facility in next one and a half year. Under this expansion, the company will install another 500 machines to meet the growing demand for the company's existing products. The said machines will require about 400,000 square feet of space for installation and the company's existing land will be enough for the same. This capex will generate additional turnover of around Rs 400 crore and provide employment to more than 1,000 workers. Company also picked up 51 per cent stake in Sri Lankan apparel manufacturing company Isabella (Private) Ltd for about USD 7.55 million (approx Rs 60.40 crore).

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