Aastha Spintex Approves 1:1 Bonus Issue & Capital Expansion, Board Clears Entry Into Value-Added Textile Products
· Free Press Journal
Mumbai: Aastha Spintex Limited has announced a series of major decisions aimed at rewarding shareholders and supporting its long-term growth plans. The company's Board has approved a 1:1 bonus issue, an increase in authorised share capital and expansion into value-added textile products.
The decisions were taken at the Board meeting held on July 23, 2026.
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Bonus Issue And Capital Hike
The Board approved the issue of one bonus share for every one equity share held by shareholders. The proposal is subject to shareholders' approval and other regulatory clearances.
To facilitate the bonus issue, the company also approved an increase in its authorised share capital from Rs 45 crore to Rs 100 crore.
In addition, the Board recommended a final dividend of Re 0.10 per equity share for FY26, subject to shareholders' approval at the upcoming Annual General Meeting.
Expansion Into New Products
Aastha Spintex has also approved its entry into forward integrated textile products, including grey fabric and other value-added fabric products under its own brand.
The company said the move will help strengthen its presence across the textile value chain and create new growth opportunities.
Acquisition Supports Growth
The expansion comes after the company's recent acquisition of Falcon Yarns Private Limited, which has significantly increased its manufacturing capacity.
Following the acquisition, annual spinning capacity has increased from 7,700 metric tonnes to 17,457 metric tonnes, while spindle capacity has expanded from 25,920 to 61,824.
Aastha Spintex Bags ₹76.78 Crore Orders For July–October 2026, Order Book Tops 21% Of FY25 RevenueThe company believes the higher production capacity will support its expansion into value-added textile products.
Strong Financial Performance
Aastha Spintex has also reported strong financial growth over the past two financial years.
Revenue increased from Rs 240 crore in FY23 to Rs 352 crore in FY25, while net profit rose from Rs 1.1 crore to Rs 23 crore during the same period.
The company also improved its operating performance, with operating profit margin rising from 5.87% to 14.16% and EBITDA margin increasing from 6.05% to 14.45%.
Mumbai: Aastha Special Train With BJP & Bajrang Dal Supporters Departed From CSMT For Ayodhya Aastha Spintex To More Than Double Capacity, Falcon Yarns Deal Lifts Spinning Capacity To 17,457 MTManagement Outlook
Managing Director Divyang Jashwant Patel said the latest approvals reflect the company's confidence in its future growth and commitment to creating long-term shareholder value.
He added that expanding into value-added textile products is a natural next step after strengthening manufacturing capacity. The company will announce the record date for the bonus issue and final dividend after receiving the necessary approvals.
Disclaimer: This report is based on company announcements and regulatory disclosures and should not be considered investment advice.