Welspun India targets US markets with Target Corporation, board approves buyback & much more!
In a press release, Welspun India stated that the company is set to work with Target Corporation in the USA to achieve business growth. Reacting to the announcements made post the meeting held of its board of directors, its stock jumped by more than 11 per cent.
Target Corporation is a retailer with over 1,900 stores in the USA. Having recently completed a vendor re-empanelment process with Welspun Global Brands Ltd, which is Welspun’s subsidiary, the duo will be working together again. Previously, the business with Target Corporation accounted for almost 10 per cent of Welspun’s overall business until FY16.
Welspun India stated in the press release that it will strive to foster a strong, transparent and sustainable business relationship with Target Corporation, going ahead.
The company’s board of directors at their meeting held on May 14, 2021, approved buyback proposal for the purchase of fully paid equity shares of Re 1 each by the company at a price of Rs 120 each per equity share payable in cash for an aggregate amount of Rs 200 crore.
The board of directors also approved to pay a dividend of Re 0.15 per share of the face value of Re 1 for FY21.
For Q4FY21, the company’s total income rose by 8.4 per cent to Rs 2,173.6 crore from Rs 1,664.5 crore reported in Q4FY20. PAT was up by 6.4 per cent to be Rs 130.1 crore compared to Rs 85.6 crore in Q4FY20.
Welspun India Limited is engaged in the textile business and manufactures a range of home textile products, primarily terry towels, bed linen products & rugs. Its business segments include home textiles and power.
On Friday, the stock of the company closed at Rs 101.25 per share, up by 11.02 per cent or Rs 10.05 per share. Its 52-week high and the 52-week low is Rs 104.45 and Rs 25.30, respectively on BSE.