1:2 Rights Issue: Penny Stock Below Rs 20 Receives Long-Term Supply Order for French Fries in Bulk Packaging
The stock is up by 86.22 per cent from its 52-week low of Rs 9.29 per share.
On Wednesday, shares of Himalaya Food International Ltd gained 1.35 per cent to Rs 17.30 per share from its previous closing of Rs 16.29 per share. The stock’s 52-week high is Rs 25.68 per share and its 52-week low is Rs 9.29 per share.
Himalaya Food International Ltd has secured a significant bulk export order for French Fries from US Foods, a major US-based food service distributor. This long-term supply order involves 75 containers, totaling 3.6 million Lbs (1,633 Metric Tons), with each container holding 1,600 cartons of 30 Lbs. Weekly shipments are already underway, and deliveries are scheduled to be completed by November 2025 to US Foods' distribution centres across various states in the USA.
The order is routed through the company's US associate entity, Himalaya International Inc. DBA Global Food, which handles logistics and regulatory compliance without earning commercial margin. This confirmed recurring order marks the beginning of a key relationship and is expected to significantly contribute to revenues and capacity utilization once Himalaya's own French Fry production unit becomes operational later this year. Until then, production is contracted with a quality manufacturer in Gujarat under Himalaya's quality control.
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About the Company
Himalaya Food International Ltd, founded in 1992 and operating from two ISO 22000-certified facilities in India, is a frozen and canned food processor specialising in mushrooms and IQF ready-to-eat products. Under the "Himalaya Fresh" brand, they cultivate mushrooms and manufacture a variety of natural, vegetarian items, including cheese, sweets, and appetisers, which are exported to the USA and sold domestically, utilising quick chilling and freezing to preserve quality.
Himalaya Food International Limited approved a rights issue. This involves 2,89,36,442 equity shares at Rs 13.80 each (including a Rs 3.80 premium), totalling up to Rs 39,93,22,900. The Record Date is May 23, 2025, with the issue opening on June 03, 2025, and closing on June 18, 2025. Prior to the issue, there were 5,78,72,884 shares, increasing to 8,68,09,326 post-issue. Shares are offered in a 1-for-2 ratio, and the issue will not exceed 30 days. The ISIN for Rights Entitlement is INE552B01010.
The company has a market cap of over Rs 140 crore with a low PE of 30x whereas the industry PE is 29x. The stock is up by 86.22 per cent from its 52-week low of Rs 9.29 per share.
Disclaimer: The article is for informational purposes only and not investment advice.