Ashish Kacholia's and Suresh Kumar Agarwal's portfolio multibagger stock in green as Board is likely to raise funds through preferential issue or QIP

The stock gave multibagger returns of 435 per cent in 3 years & a whopping 1,000 per cent in 5 years

Fineotex Chemical Limited informed that the meeting of Board of Director of the company will be held on Friday, February 16, 2024, inter alia to consider the proposal for raising of funds by way of issue of one or more of instruments comprising of equity shares, convertible securities of any other description or warrants or debt securities, through private placement/preferential issue/qualified institutions placement or such other methods or combinations thereof as may be decided by the Board and to approve ancillary actions for the above mentioned fund raising. 

Today, shares of Fineotex Chemical Limited gained 0.38 per cent to Rs 391.80 per share from their previous closing of Rs 390.30 with an intraday high of Rs 398.65 and an intraday low of Rs 380.20. The stock’s 52-week high is Rs 409 and its 52-week low is Rs 208.45.  

Fineotex Chemical is a leading speciality chemical producer and solution provider, founded in 1979. It has a market-leading position in the speciality chemicals industry, both domestically and internationally. The company manufactures chemicals for the entire textile value chain, including pre-treatment, dyeing, printing, and finishing processes. It has also successfully expanded into the home care, hygiene, and drilling speciality chemicals sector, which is supporting its next phase of growth. 

Fineotex manufactures over 470 products and exports to over 69 countries. It has manufacturing facilities in Mumbai and Ambernath, India and Selangor, Malaysia with a combined capacity of 1,04,000 MTPA. The newly set up facility at Ambernath with a capacity of 61,000 MTPA will cater to customers' demand for existing textile specialities and the fast-growing home care, hygiene, and drilling specialities business. 

The company has a market cap of over Rs 4,300 crore and has delivered good profit growth of 31.1 per cent CAGR over the last 5 years. As of December 2023, 2 ace investors, Ashish Kacholia and Suresh Kumar Agarwal own 2.83 per cent and 1.26 per cent respectively.  

The stock gave multibagger returns of 435 per cent in 3 years & a whopping 1,000 per cent in 5 years and the company has a strong return on equity (ROE) of 28.9 per cent and a return on capital employed (ROCE) of 36.5 per cent.  

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

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