Small Cap Stock Rushil Decor Hits 20% Upper Circuit On Fundraising Plan Via Rights Issue

Small-cap firm Rushil Decor operates in the consumer discretionary industry. Rushil Décor Ltd. is a market leader in the laminate and MDF panel boards business in India, with operations spread over more than 51 nations. The company was established in 1993, with its headquarters in Ahmedabad. The shares of Rushil Decor opened today on the BSE at Rs 292.35 apiece and locked in an upper circuit of 20% at Rs 350.15 during the morning deals after the company mulls a fundraising plan via a rights issue.

The company said in a stock exchange filing today that the Board of Directors of the company is scheduled to be held on Thursday, 26th day of October, 2023 to consider and approve the raising of funds by issue of equity shares, or any other financial instruments convertible into equity shares (including warrants, or otherwise) by way of preferential allotment or private placement or qualified. institutions placement or right issue basis.

During Q1FY24, the company reported a net income of Rs 195.09 Cr compared to Rs 210.95 Cr in Q1FY23. Its net expenses stood at Rs 171.15 Cr during the June 2023 quarter as against Rs 169.38 Cr in the June 2022 quarter. Rushil Decor reported an EBIT of Rs 23.94 Cr in Q1FY24 compared to Rs 41.57 Cr in Q1FY23 and its net profit dropped to Rs 12.20 Cr as against Rs 27.20 Cr reported in the corresponding quarter of the previous fiscal.

The shares of Rushil Decor are available to trade on both NSE and BSE. The scrip made a 52-week-high of Rs 438.18 on (24/10/2022) and a 52-week-low of Rs 202.37 on (29/03/2023), indicating that at the current market price, the stock is trading at a discount of 20.08% from 1 year high and have gained 73.02% from its 1 year low. During Q2FY24, the company's promoter shareholding was 56.39% and public stake was 43.61%.