450% Gain In 6-Months: Penny Stock Hits 3rd Consecutive Upper Circuit, Why?

Small cap stock Himachal Fibres Ltd today hit 4th consecutive upper circuit and 3rd 52-week high after the company informed via its exchange filing about approval to acquire 51% stake in Shiva Cottex Private Limited. Last trading price of Himachal Fibres share on BSE is Rs 34.19 per share with intraday gain of 2.00%. Himachal Fibres shares soared 183% in last 3-months and 450% in last 6-months. Check details below:

Himachal Fibres Acquires 51% Stake in Shiva Cottex: As per the BSE filing of the company dated today, "Himachal Fibres Limited today decided and approved to acquire 51% stake in Shiva Cottex Private Limited by subscribing to its equity share capital. This strategic move solidifies our commitment to enter into manufacturing of innovative and sustainable products from waste plastic material. Shiva Cottex Private Limited will become subsidiary of Himachal Fibres Limited, and is currently in the process of establishing a state-of-the-art production line for rPET bottle to bottle chips, with an annual capacity of 7,000 tonnes."

Akhil Malhotra, Chairman of Himachal Fibres Limited said, "We are thrilled to announce the successful integration of Shiva Cottex Private Limited into the Himachal Fibres Limited family. As we navigate this strategic milestone, it is noteworthy that there is growing consumption of PET bottles in India and globally. At present, there is an annual consumption of 1.1 million tonnes (approx.) of PET bottles in India, and with Extended Producers' Responsibility ('EPR') Regulations requiring minimum usage of 30% from recycled PET from FY 25 onwards, the demand for rPET bottle chips is going to spurt substantially specially from the brands like Coca Cola, Pepsi, Hindustan Unilever, etc."

Himachal Fibres Stock Outlook & Return: The 52-week high price of Himachal Fibres share on BSE is Rs 34.19 per share and 52-week low price is Rs 3.74 per share, respectively. The company has a market capitalisation of Rs 294.89 crore. Himachal Fibres shares gained 528% in last 1-year, soared 340% in last 2-years, and offered gain of 1923% in last 3-years.

Disclaimer:

The stock highlights rally in shares and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on the stock mentioned. Neither, the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.