GHCL Textiles Ltd

Key details

• Target Company: GHCL Textiles Limited.
• Disclosing Party: Anurag Dalmia, promoter.
• Transaction Type and Mode: Acquisition of 5,000 open-market equity shares.
• Pre-Transaction Holding: 1,50,225 shares (0.16% voting rights).
• Transaction Details: 5,000 shares acquired (0.005%), Sep 23, 2026.
• Post-Transaction Holding: 1,55,225 shares.
• Date of Transaction: Sep 23, 2026.
• Equity share capital before: 9,55,85,786 shares.
• Equity share capital after: 9,55,85,786 shares.
• Total diluted share capital after: 99,55,85,786 shares.

Key details

• Target Company: GHCL Textiles Limited.
• Disclosing Party: Anurag Dalmia (promoter).
• Transaction Type: Acquisition of 5,000 equity shares.
• Mode: Open market purchase on September 22, 2026.
• Pre-Transaction Holding: 1,45,225 shares, 0.15% of voting rights.
• Post-Transaction Holding: 1,50,225 shares, 0.16% of voting rights.
• Acquired shares: 5,000; 0.005% of diluted voting capital.
• Date of transaction: September 22, 2026.
• Equity capital before: 9,55,85,786 shares.
• Equity capital after: 9,55,85,786 shares.
• Total diluted capital after: 99,55,85,786 shares.

Meeting Details

• Date and time: Monday, September 28, 2026 at 11:00 AM
• Conference name: Arihant Capital - Bharat Connect Conference
• Type of interaction: Group Meeting
• Mode of participation: Virtual
• Venue: Virtual

Participants

• Company participants: management representatives to participate

Purpose

• Purpose: Group investor interaction with analysts and institutional investors

Purpose and outcome

• Purpose: approve GHCL Textiles ESOS 2026 via postal ballot.
• Resolution: Special resolution for ESOS 2026.
• Outcome: Passed; 99.9595% in favour of votes polled.
• Deemed date of passing: Sept 10, 2026.
• Cut-off date: Aug 7, 2026; e-voting Aug 12–Sept 10, 2026.

Key terms and implications

• Aggregate options: 4,500,000 (4.70% of paid-up capital).
• Exercise price: market price on grant date; not below face value.
• Vesting: minimum 1 year; maximum 5 years.
• Exercise period: up to five years from vesting.
• Eligibility: permanent employees and whole-time Directors; promoters/independents excluded.
• Administration: Nomination and Remuneration Committee.
• Adjustments for corporate actions.

Fire incident update

• Update on fire incident at GHCL Textiles' warehouse near Tuticorin Port.
• Estimated loss/damage to stock approx Rs 27 crores.
• Warehouse and stock are fully insured; claims filed.
• No human casualties or injuries reported.
• No impact on production or ongoing operations.
• Insurance assessment ongoing; further updates to follow.

ESOS 2026 proposal

• Purpose: Special Resolution to approve GHCL Textiles ESOS 2026 for issuing stock options.
• Aggregate cap: up to 45,00,000 options (~4.70% of paid-up capital on Mar 31, 2026).
• Treatment: options exercisable into equity shares of Rs 2 each.
• Eligibility: permanent employees and whole-time directors; promoters, independents excluded.
• Vesting: not earlier than 1 year, up to 5-year total vesting.
• Exercise price: market price on date preceding grant; not less than face value.
• Per-grantee cap: up to 3,00,000 options annually; aggregate cap 45,00,000.
• Implementation: directly by the company; not via a trust.
• Listing: equity shares to be listed on existing stock exchanges.
• Record/date eligibility: cut-off date Aug 7, 2026 for voting rights.
• Voting window: e-voting Aug 12 to Sep 10, 2026; results by Sep 12, 2026.
• Outcome: not yet decided; result to be announced by Sep 12, 2026.
• Scrutinizer: Manoj R. Hurkat; results communicated to stock exchanges.
• Dilution impact: approx 4.70% of paid-up capital.
• Regulatory: ESOS under SEBI SBEB & SE Regulations; approvals required.
• No loan or trust-based financing; scheme involves only new equity issue.
• Promoters excluded from eligibility per Scheme terms.

Meeting Details

• Date: Wednesday, August 12, 2026.
• Time: not specified.
• Type/Mode: Group meeting and one-to-one; Physical.
• Event: Analysts/Institutional Investors Meeting.
• Venue: Go India Advisor Office, Godrej, BKC.

Participants

• Participants: Company management and representatives.

Purpose

• Purpose: Schedule of analysts/institutional investors meeting.

Additional Notes

• Availability: Communication will be on the company website.

Meeting Details

• Date: Wednesday, August 12, 2026; time not disclosed
• Type: Group or one-to-one interaction
• Mode: Physical
• Venue: Go India Advisor Office, Godrej, BKC
• Purpose: Analysts/Institutional Investors meeting

Participants

• Key participants: company management/representatives

Availability

• Copy of communication will be available on the GHCL Textiles website

Financial Performance

• Q1 FY27 revenue ₹410 crores, up 52% YoY.
• EBITDA ₹70 crores; PAT ₹39 crores.
• Fabric sales share rose to 16% of total; 9% in prior-year quarter.
• Yarn sold directly to customers 89%; 11% to fabric production.
• Spinning utilization ~99% in Q1 (knitting utilization noted separately).
• Cotton spread: ₹160/kg pre-pack; ₹155/kg with packing; Q4 FY26 spread ₹138.

Operations & Capacity

• 50 knitting machines installed; commercial production stable; remaining 25 to be added in phases.
• Plan to commission total 40 knitting machines by Q3-end FY27.
• 65 MW total solar capacity; 3 MW rooftop in Jan; 11 MW ground solar; December commissioning for latter.
• 15 knitting machines presently in use; yarn-to-fabric mix evolving toward more in-house fabric.

PM MITRA Park & Capex

• PM MITRA Park land allotted in 2026; completion targeted by December 2027; park facilities by CY'28.
• Capex pipeline: ₹350–₹400 crores for MITRA Park; ₹100–₹120 crores capex this year (modernization/replacement).
• Total investments around ₹1,000 crores; subsidy potential ₹100–₹125 crores (capital subsidy) identified.
• No concessional debt expected for PM MITRA; CETP/ZLD and central facilities provide infra benefits.

Demand & Market Trends

• Demand tailwinds from FTAs; EU, UK, US markets form large growth potential.
• Exports strong to Germany, Italy; domestic market growth 6–8% YoY.
• Cotton inventories in view; spreads maintainable at ₹145–₹155/kg for Q2; prices may vary.
• FY27: overall demand environment remains positive despite geo-political headwinds.

Guidance & Outlook

• Target to double revenue to ₹2,000 crores by FY29.
• Fabric share to top line expected to rise to 30–40% in 3 years (from 15–16%).
• Normalized EBITDA target 14–15%; with vertical integration, 16–18% EBITDA achievable.
• This year's capex guidance: ₹100–₹120 crores; MITRA capex ₹350–₹400 crores.

Q&A Highlights

• Forward booking ~1.5–2 months; no direct US/UK yarn exposure; Europe demand strong.
• Cotton inventory covers Nov–Dec; spreads likely to stay sustainable if prices hold.
• US/UK FTAs could boost brands; potential market-share gains.
• Fabric volumes rising; 15 knitting machines in operation; 25 more in FY27.
• Normalized margins expected; inventory gain not recurring.