AVI Polymers Rights Issue Receives In-Principle BSE Approval as Q3FY26 Performance Improves

AVI Polymers Limited has informed the stock exchanges that BSE Limited has granted in-principle approval for its proposed rights issue of fully paid equity shares. The approval also covers use of the name BSE Limited in the Letter of Offer, subject to compliance with specific procedural conditions laid down by the exchange.

Alongside the rights issue progress, AVI Polymers has been reporting stronger financial performance. The company, a micro-cap specialty chemicals player engaged in wholesale trading of chemical products, posted a sharp turnaround in Q3FY26, following a weaker first half of the financial year.

The Board of Directors of AVI Polymers is scheduled to meet on Thursday, February 05, 2026. The agenda includes finalising the short-term structure of the rights issue, such as the number of equity shares, issue price per share, rights entitlement ratio, payment terms, record date, schedule and related operational matters.

Earlier, the Board had already cleared a capital-raising plan through a rights issue of equity shares with a face value of Rs 10 each, aggregating up to Rs 90.00 crore. This rights issue structure aligns with the recent enhancement in authorised capital approved by shareholders in December 2025.

According to the company’s filing, BSE has specified key procedural conditions for the rights issue. AVI Polymers must disclose the rights issue price at least three working days before the record date. In addition, the record date itself must be announced to the exchange with a minimum notice of three working days.

The exchange has also granted in-principle permission for listing of the rights shares that will be issued, subject to completion of post-issue formalities. These include standard listing and compliance procedures after allotment. The approvals are limited to in-principle consent and do not cover any other regulatory clearances that may be required.

AVI Polymers rights issue: trading window closure and compliance

To align with its Code of Conduct for Prevention of Insider Trading, AVI Polymers has restricted trading by key individuals around the board meeting. "Further, in accordance with the Company's Code of Conduct for Prevention of Insider Trading, the Company has intimated its "directors, designated persons and their immediate relatives' regarding the closure of the Trading Window for trading in the Company's equity shares from February 02, 2026 till the expiry of 48 hours after the conclusion of the board meeting," said the company in a BSE statement.

This trading window closure is standard practice for listed entities when price-sensitive decisions, such as capital raising terms, are under consideration. It aims to prevent any dealing in the company’s shares by persons who may have access to unpublished price-sensitive information.

AVI Polymers rights issue: recent financial performance overview

For investors tracking AVI Polymers, the rights issue follows a strong operational rebound in Q3FY26. The quarter ended December 31, 2025 marked a significant recovery, with both revenue and profitability improving sharply compared with the immediately preceding quarter, Q2FY26.

AVI Polymers reported net profit of Rs. 7.02 crore in Q3FY26, compared with Rs. 2.29 crore in Q2FY26, reflecting a 206% sequential increase. Revenue from operations rose to Rs. 132.32 crore in Q3FY26, from Rs. 29.50 crore in Q2FY26, indicating a quarter-on-quarter growth of about 348% for the specialty chemicals company.

Performance for the first nine months of FY25-26 also showed meaningful gains. For the nine-month period, the firm posted net profit of Rs. 10.09 crore and revenue from operations of Rs. 161.82 crore. The Q3 surge contributed significantly to these year-to-date figures.

Period	Revenue from Operations (Rs crore)	Net Profit (Rs crore)
Q2FY26	29.50	2.29
Q3FY26	132.32	7.02
9M FY25-26	161.82	10.09

AVI Polymers rights issue: capital structure and shareholder approvals

The rights issue proposal is underpinned by a substantial increase in the authorised share capital of AVI Polymers. At an Extra Ordinary General Meeting held on December 11, 2025, shareholders approved expansion of authorised capital from Rs. 6.5 crore to Rs. 100 crore.

As part of this approval, the number of equity shares was raised from 65 lakh to 10 crore, while maintaining the face value at Rs. 10 per share. This enlarged authorised capital base provides the headroom needed to issue new equity through the planned rights offer of up to Rs 90.00 crore.

AVI Polymers rights issue: share price, valuation and trading range

On February 3, 2026 at 15:30 IST, the share price of AVI Polymers Ltd. stood at Rs 18.86 on BSE. The stock closed at its intraday high and hit the upper circuit limit, after gaining 4.95% during that trading session.

The company currently has earnings per share (EPS) of Rs 7.46 and a price-to-earnings (P/E) multiple of about 2.53. Over the last 52 weeks, the stock has traded between a low of Rs 9.89 and a high of Rs 34.57, indicating a wide trading range for investors.

Metric	Value
Share price (Feb 3, 2026, 15:30 IST)	Rs 18.86
Daily change	+4.95%
52-week high	Rs 34.57
52-week low	Rs 9.89
EPS	Rs 7.46
P/E ratio	Approximately 2.53

Overall, AVI Polymers is preparing a rights issue of up to Rs 90.00 crore against a backdrop of improved quarterly earnings, a larger authorised capital base and BSE’s in-principle approvals. Final terms will depend on the February 05, 2026 board meeting and subsequent regulatory compliance steps.