Filatex India’s promoters increased stake in the company by 2%
Bengaluru, January 28, 2020: The demand for polyester yarn and fabric has been on the rise on account of increasing demand pick across the World and India became competitive on both polyester yarn and fabric business in the last couple of quarters.
This has prompted leading companies in the sector like Filatex to expand their capacities in fabric and polyester yarn capacities respectively.
Another trend observed in the last two quarters is promoters of textile companies across the value chain increasing their stake in the company, which is a big confidence for the other investors in the sector.
Promoters of Filatex India, a leading Polyester yarn manufacturer, have increased its stake in the company by 2.01% in the last two quarters. Currently, the total promoters holding stands at 59.73% as compared to 57.72% in quarter ending June 2019 and there is enough scope to increase stake in the company.
According to Mr. Madhu Sudhan Bhageria, Chairman & Managing Director, Filatex India, “We had recently completed expansion at our Dahej plant in September of last year and implementation of additional Drawn Textured Yarn (DTY) capacity is in progress and will commence by April, 2020, which shows that there is an increasing demand for polyester yarn in both domestic and international market. Another major confidence builder is that the same has been reflected in our results in the first half of the year. These are major confidence boosters for the company”.
Promoters increasing their shareholding in the company is considered positive as it sends out an affirmative message that the promoters see value in their companies at the current level. With this, the promoters believe that the fundamentals of the companies are still intact and give assurance to investors about the long-term prospects of their companies.